Castle Trust Bank adds to HMO range

Castle Trust Bank has added a new price category to its HMO range.

The new price category caters for medium HMOs of between seven and ten rooms, offering a five-year fixed rate of 5.99% at up to 75% LTV.

Loans are available from £200,000 to £5m, with a 3% arrangement fee and a 1% exit fee.

The new category sits between small HMOs of up to six rooms and large HMOs of between 11 and 15 rooms.

Castle Trust Bank’s TermTen proposition combines a ten-year term with a five-year fixed rate and interest-only payments.

It is available to portfolio landlords, first-time landlords, limited companies and individuals, as well as expats, foreign nationals and borrowers with complex ownership structures.

“An HMO with seven rooms can present a different lending requirement from one with 15 rooms,” said Anna Lewis, commercial director at Castle Trust Bank (pictured above).

“Our new medium HMO category recognises that difference, helping brokers match pricing more closely to the property their client is financing.

“Landlords need to consider both their monthly borrowing costs and their longer-term plans.

“TermTen gives them a way to manage both, while our broad lending criteria help brokers support clients with a wide range of properties and ownership structures.”