Mortgage Brain’s latest buy-to-let product data analysis show that the cost of a three year fixed buy-to-let mortgage with a 60% LTV is now 3% lower than it was just three months ago in February 2017.
With a current rate of 2.44% (as of 1 May 2017), the reduction in cost for this product equates to a potential annual saving of £468 on a £150k mortgage.
A two and three year fixed buy-to-let (at 2.50% and 2.74% respectively) – both with a 70% LTV – have seen a 2% reduction in cost over the past quarter and offer landlords an annual saving of £648 and £324.
A 60% LTV two year fixed, a 60% and 70% LTV two year tracker, and a five year fixed (70% LTV), however, have all remained stable with mortgage costs remaining static with those offered at the beginning of February.
The cost of a two and three year fixed buy-to-let mortgage with an 80% LTV, for example, is now 8% lower than it was this time last year and offer landlords an annual saving of £774 on a £150k mortgage.
A 3% drop over the past six months – and 7% over the past year – in the cost of a five year fixed buy-to-let mortgage with a 60% LTV, also offers buy-to-let investors an annual saving of £648.
Mark Lofthouse, CEO of Mortgage Brain, said: “It’s really been a period of little activity across the market in the movement of rates and costs over recent weeks and months. The residential market, in particular, has seen very little change since the start of the year.
“Our latest analysis, however, shows that buy-to-let investors are still in a good position to take advantage of the low rates and cost reductions that we’ve seen over the past three months.”