"We’ll be monitoring take-up of these products closely and would hope that, if they are seeing strong demand, we can then roll them out to the wider market."
The products are both two-year variable offerings and priced at 3.34% up to 65% LTV or 3.69% up to 75% LTV for standard HMOs. For large HMO/MUB, the rate is 3.44% up to 65% LTV or 3.79% up to 75% LTV.
The launch of the packager exclusives follows a number of changes across Foundation’s wider buy-to-let product range this month including: increases to LTV bands – from 60% to 65% LTV and 70% to 75% LTV; rate cuts of up to 50 basis points; and the introduction of a new five-year fixed fee product for F1 borrowers.
Jeff Knight, director of marketing at Foundation Home Loans, said: “We’re in constant dialogue with our packager partners and will seek to respond quickly where possible to present solutions for the demand they are seeing in the market.
“That being the case, we’re able to launch these exclusive products for packagers which provide further product options for landlord borrowers seeking either standard HMO or large HMO/MUB finance.
“We’re also conscious that the circumstances for landlord borrowers during 2020 and, for the foreseeable future, might be very different to what they could be in 12-18 months’ time. This is why these variable products come with no ERCs which will allow landlord borrowers, should things change in the future, to potentially remortgage at a later date with no charges to pay.
“We’ll be monitoring take-up of these products closely and would hope that, if they are seeing strong demand, we can then roll them out to the wider market.”
