Foundation, Shawbrook and Vida update product ranges



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Foundation Home Loans, Shawbrook Bank and Vida have revamped their specialist finance offerings.

Foundation Home Loans

Foundation Home Loans has launched its new Green ABC+ product ranges for BTL and owner-occupied mortgages, with rates and cashback based on the property’s energy performance rating.

They are aimed at borrowers seeking to purchase more energy-efficient homes and were designed to incentivise borrowers to improve the EPC ratings of their properties.

For BTL landlord borrowers purchasing or remortgaging, the lender is offering a set of five-year fixed-rate options available at up to 75% LTV, with rates starting at 3.14% and a reduced product fee of 0.5%.

This range is available to individual and limited companies, as well as portfolio and non-portfolio landlords, and allows early remortgaging.

For owner-occupier borrowers buying or remortgaging, Foundation has launched a range of two-year fixed-rate options at 75% and 85% LTV, with a product fee of £595.

The products — available on a capital and interest-only basis — are priced from 3.04%.

The Green ABC+ ranges offer cashback rewards between £250 and £750, dependent on the EPC rating of the property.

George Gee, commercial director at Foundation Home Loans, said: “We want to encourage and reward those homeowners and investors who make the conscious choice to buy energy-efficient properties, or improve those which they currently own. 

“Energy efficiency amongst UK housing stock is only likely to become more central to the government’s green agenda.

“Although the government regulations currently only affect properties in the private rental sector, our research shows there is a growing demand for green mortgage products amongst owner-occupiers too, and increasing demand from both groups for environmentally-friendly housing stock. 

“As one of the first specialist lenders to enter the green mortgage market, we remain committed to innovating green product options for both landlords and owner-occupier borrowers.”

Shawbrook Bank

Shawbrook Bank has made its non-portfolio product available to customers with small HMO properties.

This comes as the lender also made enhancements to its AVM criteria to cater for small HMO applications.  

The product, which offers a fixed rate of 3.69% at up to 75% LTV, is exclusively available via Shawbrook’s digital portal, MyShawbrook BTL, which streamlines the application process for its brokers.

The option is only available to non-portfolio landlords (including first-time landlords) for single wellings — including houses or flats in a block up to four storeys — or small HMO (six units or less) applications, which qualify for and proceed with an AVM.

Gavin Seaholme, head of sales at Shawbrook Bank, said: “We’ve seen some fantastic outcomes for customers who have made use of our non-portfolio product via our digital portal, with some cases going to offer in just three hours! 

“Naturally, we want to make that experience possible for even more customers, which is why we have broadened the product criteria to cater for small HMO properties.”  

“As well as improvements to service, more customers can benefit from its competitive rate, as well as a free valuation via our enhanced AVM proposition – so it’s great news all round.”  

Vida

Vida has cut prices across three of its current limited edition BTL products.

The rates now begin at 2.89% for its two-year fixed-rate option, while its five-year fixes start at 3.14%.

The three products offer loans up to £1m for purchases and remortgages, and come with a £1,995 fixed product fee.

Richard Tugwell, director of mortgage distribution at Vida, commented: “As the industry celebrates 25 years of BTL, we wanted to show our commitment to the sector by making these changes to our limited edition buy to let products to ensure they are highly competitive on both rates and fees. 

“This provides an attractive overall total cost to those landlords either seeking to expand or build their existing portfolio. 

“We have been listening to our intermediaries and despite the challenges the mortgage market has faced over recent years, the UK BTL sector is very much alive, and these changes are aimed at supporting our customers in achieving portfolio growth and reinforces our commitment to offering greater opportunities for intermediaries and their customers locked out of high-street lending.”

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