The Post Office has released a new range of buy to let mortgage deals aimed specifically at first time landlords.
Despite fears that the buy to let sector is facing a decline due to factors including the phasing out of mortgage interest tax relief and other regulatory changes, the Post Office has shown faith in the sector by adding to its range. The four new products’ key feature is that they aim to keep initial expenses low for new landlords or those hoping to purchase just one or two investment properties.
The products include one 60 per cent LTV three-year fixed rate at 2.28 per cent, two 70 per cent LTV packages, one with a two-year fixed rate at 1.93 per cent, and one with a five year fixed rate at 2.78 per cent. Finally, there is a 75 per cent LTV two-year fixed rate product at 1.98 per cent. All come with a £995 fee.
Post Office Money is also set to offer no fee B2L products, and also provides the option of assistance with valuation and legal fees.
Managing Director of Post Office Money, Owen Woodley, says: ‘Property is still an attractive investment for many; however, factors such as the increased stamp duty tax on additional properties mean people are shopping around for the best deal to keep costs down. We are continuing to improve our mortgage offering across the board to help customers make their buy to let aspirations a reality. We know that many of our BTL customers will be first time landlords and as a result, we have aimed our new market-leading deals at the ‘cost conscious aspirational investor.’