Kensington has enhanced its range of Buy to Let mortgages available exclusively through its specialist distribution partners.
The lender can now cater for landlords looking to invest in Houses in Multiple Occupation (HMO) on properties with up to six bedrooms and freehold properties with up to four multiple leases.
Rates start at 3.39% for a 2 Year Fixed Rate and 3.69% for a 3 Year Fixed Rate, at 65% LTV with a 1.50% Completion Fee.
There’s no minimum income requirement and the products are available to existing landlords, with no additional experience requirements. Minimum property values start at £75,000 for HMOs and £200,000 for MUBs.
The specialist lender has also reduced prices by an average of 50 basis points across its existing range of Buy to Let mortgages, which are available through intermediaries.
Fixed rates are available up to 80% LTV, with 2 Year Fixed Rates starting from 2.79% and 3 Year Fixed Rates from 3.09%, with a Completion Fee of 1.50%.
Liz Syms, Managing Director at Connect for Intermediaries, says:
“I am delighted to see Kensington launch such a highly competitive HMO product and unlike other lenders they will not be charging a premium on this type of lending.
This product will definitely help landlords who wish to increase their exposure in this market, as HMO’s have come a long way and are offering professional tenants a quality alternative solution to meet their housing needs.”
Steve Griffiths, Director of Sales & Distribution at the Northview Group, says:
“Earlier this year, Kensington carried out research amongst 200 landlords and found that 55% would give more consideration to investing in HMOs as a result of Buy to Let tax changes. We believe that demand for specialist products which require a more individual approach will grow as investors look for ways to derive greater value from their investment.
Our new range is built to meet this demand and we look forward to working with our specialist distribution partners to make more complex Buy to Let products accessible to brokers, whilst also ensuring that we offer the best possible value to the market as a whole.”