YBS Commercial Mortgages and Zephyr update product ranges

YBS Commercial Mortgages and Zephyr Homeloans have cut rates and added new products to their ranges.

YBS Commercial Mortgages

YBS Commercial Mortgages has launched a new offering for landlords purchasing HMOs.

The product comes at a five-year fixed rate of 3.9% on an interest-only basis, with a maximum LTV of 75%.

Its latest offering is available to borrowers with a minimum of one years’ experience as a HMO landlord, for loans between £500,000 and £1.5m per property. 

The building must have no more than 12 bedrooms and be let (or intended to be let), to professionals, key workers or students.

Applications will be considered from select locations across the UK, based on analysis of demand, including London, Manchester, Birmingham and Bristol.

“We’re really pleased to be adding this new product to our range, demonstrating our continued support to sectors being revived following the impact of Covid,” said Mike Davies, head of business development at YBS Commercial Mortgages.

“We know there is a growing demand for mortgages in this area from both brokers and their clients, and we’re happy to be giving investors additional choice when they’re developing HMOs for students and those in higher education.

“The HMO market has evolved over the last 10 years and is becoming mainstream for both tenants and landlords, with increasing standards of property. “

Zephyr Homeloans

Zephyr Homeloans has lowered the rates on its 75% LTV five-year fixed-rate loans, and has introduced a 2% product fee option across its entire range.

The new rates start at 3.39% for standard property BTL mortgages, and from 3.69% for HMOs and MUBs.

The specialist lender has also increased the maximum loan amount to £2m on standard property BTL with a 65% LTV.

Zephyr’s new 2% product fee option for standard property starts at 2.90% for a two-year, fixed-rate loan and 3.29% for a five-year, fixed-rate loan. 

For specialist properties, rates start at 3.14% for a two-year, fixed-rate loan and 3.49% for a five-year, fixed-rate loan.

Paul Fryers, managing director at Zephyr Homeloans, said: “Findings from our recent landlord survey with The DPS suggested that the opportunity to buy at a discount was the most-commonly cited reason for buying investment property and we have seen an uptake in refinancing, as well as more portfolios moving to limited company structures. 

“We know that the speed at which mortgage financing is secured is a significant factor for intermediaries in considering lenders as well as having a wide selection of loan options that suit their customers’ needs.

“Because customer service is important and borrowers want their cases processed quickly, we post our service levels daily on our website.”

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