HSBC is making its buy-to-let range of mortgages available to non-HSBC customers for the first time.
It is also cutting the amount of rental cover required and providing more Loan To Value (LTV) options.
The new range, available from today, follows changes made earlier in the year to make buy-to-let mortgages available to more HSBC customers and launching buy-to-let further advances.
Changes to HSBC’s buy-to-let mortgage policy include:
- Opening the range to non-HSBC customers and standalone applications
- Reducing the rental cover required to 125% from 130%
- Increasing the maximum LTV on buy-to-let further advances to 75% from 60% LTV
- Assessing the buy-to-let mortgage application on rental income only.
Changes to HSBC’s buy-to-let mortgage pricing include:
- Introducing new 60% and 70% LTV products
- A new ￡349 booking fee option
- Introduction of discounted booking fees for HSBC Premier and HSBC Advance customers, e.g. for customers with these accounts a ￡349 booking fee will be reduced to £99.
HSBC’s buy-to-let range includes the following rates:
- 60% LTV 2 year fixed at 2.19% with ￡1,999 fee
- 60% LTV tracker at 2.99% with ￡1,999 fee
- 75% LTV 2 year fixed at 2.79% with ￡1,999 fee
- 60% LTV 5 year fixed at 3.29% with ￡1,999 fee
Tracie Pearce, head of ortgages at HSBC, said: “We’ve sharpened our offering and expect to be able to help even more customers achieve their buy-to-let ambitions.
The availability of buy-to-let products is now at its highest point since 2008. High rents and low interest rates mean customers are increasingly seeing buy-to-let as an attractive investment opportunity. The policy and pricing changes we have made will make our range available to even more people.”