Hampshire Trust Bank (HTB) has revamped its pricing for landlords borrowing more than £1m.
With immediate effect, prices have been reduced accordingly with lower LTVs.
This applies to specialist BTL, HMO and MUFB loans but loans over £5m are priced on application.
Two-year fixed rate loans are available from 5.14%, 5.34% and 5.84%, for 55%, 65% and 75% LTVs, respectively.
Meanwhile, five-year fixed rate loans are available from 5.64%, 5.84% and 6.34% for these same respective LTV bands.
In making these changes HTB has reasoned that by more clearly rewarding lower leverage, this revised pricing supports brokers reassessing how and when debt is introduced across larger portfolios.
“Professional landlords are thinking much more deliberately about how they use leverage,” said Alex Upton, managing director of specialist mortgages and bridging finance at HTB (pictured above).
“In that context, pricing needs to do more than simply enable borrowing.
“This change ensures that lower leverage and stronger servicing are recognised clearly in pricing, and reflects how we believe specialist BTL lending should be structured.”
