Rates start at 5.95% and the products are targeted at prime landlords wishing to raise capital from the equity in their buy to let portfolios.
Precise estimates that the buy to let market is to hit £30bn of gross advances this year and approximately 50% of that will be remortgages.
Highlights of the new range include:
- Available on Interest and capital and interest only basis to align with first charge mortgages
- Offers a cheaper option than remortgaging for many landlords
- Ability to access equity in their property portfolio for any purpose even when their first charge has an ERC
- Faster than a remortgage. A typical remortgage can take 8 weeks, a second charge can complete within one week of application
- Doesn’t force a landlord to remortgage a first charge with a cheap revert rate, often BBR + 1.50% onto a loan with a much higher revert rate.
Alan Cleary, Managing Director of Precise Mortgages, said:
“We expect to see approximately 108,000 buy to let remortgage transactions this year and many of these landlords may have been financially better off if they had access to a competitive buy to let second charge loan product instead. Now they have.”
