Foundation launches limited edition five-year product for portfolio landlords




Foundation Home Loans has launched a no-fee five-year fixed-rate BTL product for portfolio landlords.

The limited edition offering, which is part of its F1 range, offers loans up to £750,000 at a maximum LTV of 75% at 3.39%.

It has no product or application fees and comes with a free standard valuation.

It is available for both individual and limited company portfolio landlords and can be used for purchases and remortgages.

The rental cover requirement is calculated at pay rate and stress tested at 125% for limited companies and basic rate taxpayers, and 145% for all others.

Foundation does not limit the portfolio size, subject to a maximum of £5m with the lender. 

Advisers and their portfolio landlord borrowers may also be able to take advantage of the lender’s reduced document requirements when the portfolio is submitted at the outset. 

“When it comes to portfolio landlords, whether they are refinancing existing properties or adding additional ones, a major consideration is keeping their upfront costs to a minimum,” said George Gee, commercial director at Foundation. 

“Our recent research, in partnership with BVA BDRC, revealed that even with the passing of the stamp duty holiday, a sizeable number of landlord borrowers still intend to add to their portfolios over the coming year, with the average number of properties they intend to buy close to two. 

“Portfolio landlord borrowers are also more inclined to use limited company vehicles, and it’s therefore important we continue to offer a range of products which cater for these needs. 

“Over the past few weeks, we’ve launched a number of limited edition product specials specifically for portfolio landlords, and believe this will be a key growth area for the BTL sector and those advisers active in this space.”

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