"The improvement in affordability on our five-year fixed rate products will provide much needed support to the market."
It has also reduced reversion rates, which are now from 3.23%. In addition to the new affordability stress rate, Aldermore has launched new five-year fixed rate products.
New standard buy-to-Let rates include a 3.28% at 75% LTV with reversion rate of 3.23% (stress rate of 3.98%) and a5.28% for 80% LTV (product fee 2.00%) with reversion rate of 4.53% (stress rate of 5.28%).
Limited company five-year fixed rates now start from 4.08% at 75% LTV with reversion rate of 3.33% (stress rate of 4.08%) and at 5.28% up to 80% LTV with reversion rate of 4.53% (stress rate of 5.28%)
Charles McDowell, Commercial Director, Mortgages at Aldermore, said: “These changes are good news for both landlords and limited company buy-to-let investors.
“Whilst there have been many changes to the buy-to-let market over the last 12 months, the improvement in affordability on our five-year fixed rate products will provide much needed support to the market.
“The increasing number of renters combined with the on-going supply pressures across the private rental sector is evidence of the integral role buy-to-let plays within the UK’s housing market. Our new products reaffirm our commitment to supporting UK landlords.”