Small HMO Buy-to-Let Two Year Fixed Rate Mortgage 75% LTV

For experienced buy-to-let investors looking to purchase their first House in Multiple Occupation (HMO), add to their existing HMO properties or remortgage an existing HMO mortgage

  • An initial rate of

    3.37%

    fixed until 30/11/2021,

  • followed by our SVR, currently

    5.64%

    variable for the rest of the mortgage.

  • The overall cost for comparison is

    5.5% APRC

Product details

Loan to Value (LTV) 75%
Arrangement fee 2.00% of the loan Other fees may apply.
Interest-only option Yes
Available for remortgages Yes
Early repayment charges 3% of the advance

Your property may be repossessed if you do not keep up repayments on your mortgage

Representative example:

The following representative example is intended to allow you to easily compare products across lenders and does not reflect what your actual monthly payment or APRC could be. Please contact us if you have any questions regarding this.

A mortgage of £87,064 payable over 20 years, initially on a Fixed rate for 2 years 6 months at 3.37% and then a 1.00% discount off our current Standard Variable Rate Mortgage of 5.64% to give a current rate payable of 5.64% (variable) for the remaining 17 years 6 months, would require 30 monthly payments of £239.71 and 210 monthly payments of £401.18.

The total amount payable would be £176,862.76 made up of the loan amount plus interest (£89,833.76), an application fee of £200 and a redemption fee of £80.

The overall cost for comparison is 5.5% APRC representative.

Fees may differ to those shown in this representative example. Current fees can be found in our tariff of charges.

Additional product information

  • Rental cover required:

    • Remortgage without additional borrowing:
    • The rent received must be at least 140% of the mortgage payment at the initial rate.
    • All other contracts:
    • The rent received must be at least 140% of the mortgage payment at 2% above the initial rate, or 5.5%, whichever is higher.

  • Maximum number of tenants: 4
  • This cannot be your first buy-to-let property
  • We accept first-time HMO landlords
  • For Purchases, an HMO Licence (if applicable) has to be in place or evidence the application has been submitted
  • For Remortgages, an HMO Licence (if applicable) to be in place at time of application
  • The maximum time remaining on HMO licence (if applicable) is 6 months
  • We reserve the right to seek evidence of whether a licence is required at a maximum of every 3 years, and as often as annually
  • Not available to first time buyers
  • Regulated or Consumer buy to let not accepted
  • Limited Companies registered in the UK only
  • Minimum energy performance rating of E on an Energy Performance Certificate (EPC)
  • Each tenant must have their own Assured Shorthold Tenancy in place
  • Minimum income £25,000.
  • For portfolio landlords the maximum LTV per property (including fees) is 75%
  • Overpayments up to 10% of the advance are allowed.
  • This mortgage is not portable.
  • This mortgage is available to new mortgage customers only.
    If you already have a mortgage with us and are looking to switch your deal, please give us a call on 0800 072 1100 to discuss our range of mortgages available exclusively for existing customers.
  • The interest rate charged will not fall below 2.00% (the minimum interest rate) at any point during the mortgage.
  • The mortgage must be for a minimum of £60,000 and a maximum of £1,000,000.
  • The minimum term for this product is five years and the maximum term is 40 years.
  • All applications are subject to current lending criteria.
  • The minimum property value is £100,000.
  • All applicants must be at least 21 years of age.
  • Please view our mortgage services fees and our mortgage valuation fees.

This does not include all of the information you need to choose a mortgage. For full details please ask us about how you can get an illustration.

Talk to us today

To arrange an appointment with one of our Mortgage Advisers call us free on:0800 072 1100or complete the form below

Does at least one applicant have an income?


Do you have a deposit (or equity in property) of at least 5% of the property value?


Do you own your current residential property (with or without a mortgage)?


Do you have a deposit (or equity in property) of at least 20% of the property value?


Thank you for your enquiry.

A Mortgage Adviser will be in contact with you within 2 working days.

What will this mortgage cost?

£
minimum amount: £60,000
maximum amount: £1,000,000
Years Months minimum term: 5 years
maximum term: 40 years
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