Buy-to-let lender Landbay has made updates to its like-for-like remortgage range, including lower stress testing and new rate reductions.
The updated product range features four 2-year fixed rate options, now stress tested at the pay rate rather than the standard calculation of pay rate plus 2%.
The revised rates start at 5.24% with up to 75% loan-to-value (LTV) ratio, accommodating a minimum loan amount of £30,000 and a maximum of £1.5 million.
Following a recent decrease in swap rates, Landbay has reduced rates by 0.10% across most of its product range, including five-year fixed rates now starting at 4.74% at 75% LTV.
Rob Stanton, sales and distribution director at Landbay, said: “We’re still seeing high levels of mortgage maturity in the buy-to-let market, with many landlords making the move onto a higher rate than their current deals.
“While we cannot escape stress testing requirements, we can use the tools at our disposal to help alleviate some of the pressures landlords will face when the affordability calculation is applied.
“This gives the landlords who don’t require any capital raising and want a shorter-term product, the opportunity to do so, due to our enhanced affordability criteria.
“As landlords continue to try and navigate the market and predict the future path of interest rates, we fully expect two-year rates to remain incredibly popular.”
