The Mortgage Works (TMW) has launched a new range of 2- and 5-year fixed buy-to-let mortgages and updated its stress rates.
The new buy-to-let rates include a 1-year fixed at 75% loan-to-value (LTV) at 4.64% with a 2% fee, a 2-year fixed at 65% LTV at 5.04% with a 3% fee and a 5-year fixed at 65% LTV at 5.14% with a 3% fee.
The products are available for purchase and remortgage with other rate/fee combinations also available.
Daniel Clinton, head of The Mortgage Works, said: “These new buy-to-let mortgages offer our most competitive rates to landlords who want to fix their repayments and manage their cashflow.”
Meanwhile, the minimum stress rate for TMW buy-to-let mortgages will increase to 8.49%. TMW said the change is an interim measure to better protect landlord cashflows during a period of interest rate turbulence.
TMW’s affordability model remains under review and it intends to launch a more tailored approach to stress rates in due course.
Clinton added: “As a responsible lender it is important we respond to recent events, ensuring our affordability model reflects the latest interest rate environment and helps safeguard the ability for our landlords to afford their mortgage both now and in the future.”
