CHL Mortgages reduces 5-year fixed rates by up to 34bps.

10 August 2023

CHL Mortgages has reduced rates across its entire 5-year fixed range with rates now starting from 5.94%.

The lender has also expanded the fee options available to Landlords, with a newly introduced 7% fee option available up to 70% LTV. A 5% fee option also remains available up to 70% LTV, whilst the 2% and 3% fee alternatives are available up to 75% LTV.

In the Core product range Individual and Limited Company/LLP rates now start from 5.94%, HMO/MUFB rates from 5.99% and Short Term Lets products from 6.49%. Products in the Refurbishment range now start from 5.99%.

All 5-year fixed rate products are calculated at ICR pay rate. For applications which include a combination of Additional-rate/Higher-rate/Basic-rate payers, the lender will also consider a “blended ICR” approach to determine loan affordability based on each borrower’s tax status and their personal share of ownership/rent to help maximise ICR affordability for its landlord clients.

5-year fixed with 7% fee option – 70% LTV
• 5.94% - Individual and Limited Company/LLP
• 5.99% - Small HMO/MUFB
• 6.04% - Large HMO/MUFB
• 5.99% - Light Refurbishment (Individual and Limited Company/LLP)
• 6.04% - Light Refurbishment (Small HMO/MUFB)

5-year fixed with 5% fee option – 70% LTV
• 6.44% - Individual and Limited Company/LLP
• 6.49% - Small HMO/MUFB
• 6.54% - Large HMO/MUFB
• 6.49% - Short Term Lets
• 6.49% - Light Refurbishment (Individual and Limited Company/LLP)
• 6.54% - Light Refurbishment (Small HMO/MUFB)

5-year fixed with 3% fee option – 75% LTV
• 6.93% - Individual and Limited Company
• 6.98% - Small HMO
• 7.03% - Large HMO
• 6.98% - Short Term Lets

5-year fixed with 2% fee option – 75% LTV
• 7.19% - Individual and Limited Company/LLP
• 7.24% - Small HMO/MUFB
• 7.29% - Large HMO/MUFB
• 7.24% - Short Term Lets
• 7.29% - Cosmetic Improvement (Individual and Limited Company/LLP)
• 7.34% - Cosmetic Improvement (Small HMO/MUFB)
• 7.24% - EPC Improvement (Individual and Limited Company/LLP)
• 7.29% - EPC Improvement (Small HMO/MUFB)
• 7.29% - Light Refurbishment (Individual and Limited Company/LLP)
• 7.34% - Light Refurbishment (Small HMO/MUFB)

Ross Turrell, Commercial Director, CHL Mortgages, commented:
“We have started to see a stabilisation in the money markets recently, which has enabled us to reduce our rates. Additionally, we have taken the opportunity to implement a number of different fee options, which alongside our broad criteria and underwriting experience further supports our intermediaries and their clients’ needs.”