Foundation Home Loans cuts standard and HMO pricing, and launches new short-term let products and a five-year limited company special

08 April 2021

Foundation Home Loans, the intermediary-only specialist lender, has today (7th April 2021) cut rates across its standard and HMO ranges, and has launched a new Limited Edition limited company buy-to-let five-year fix and two new short-term let products.

The limited company product is priced at 3.24%, 10 basis points below Foundation’s core limited company range, with a reduced 1.5% fee and is available up to 75% LTV with a maximum loan amount of £1 million, and ICR calculated at 125% of pay rate.

The lender welcomes portfolio landlords and has no limit to the background portfolio size for each borrower, subject to a maximum of £3m with Foundation.

Foundation has also made a series of rate cuts across a number of buy-to-let products including:

Standard – two-year F2 (for borrowers with some credit blips) 65% LTV reduced to 3.19% from 3.24%, and 75% LTV to 3.34% from 3.39%; five-year F2 fix 65% LTV at 3.39% from 3.44% and 75% LTV at 3.54% from 3.64%. All with a 2% fee.
HMO – five-year F2 65% LTV reduced to 3.49% from 3.59% and 75% LTV to 3.64% from 3.74%. Both with a 2% fee.

The new short-term let products are:

A two-year 65% LTV discount of 1.6% giving a current pay rate of 3.49%, and a 75% LTV 1.2% discount giving a current pay rate of 3.89%.

Foundation has also cut rates on its current short-term let products, reducing its five-year fix at 65% LTV to 3.99% from 4.19% and the 75% LTV to 4.29% from 4.79%.

George Gee, Commercial Director at Foundation Home Loans, said:

“There’s no doubting that the Budget announcement on stamp duty has eased a number of worries about purchase completion, but it has also resulted in an increased activity impetus particularly from landlords.

Landlords continue to seek out properties that can deliver strong yield – hence the focus on HMO and short-term lets – and as a lender active in these areas we want to ensure advisers and their clients have access to a highly competitive range, right across the buy-to-let product space. Along with our flexible criteria and our personal service, we believe this current range will be of huge benefit to many advisers and their landlord clients.”

For more information on Foundation Home Loans, please visit: www.foundationforintermediaries.co.uk