West One

West One launches green second-charge BTL mortgage range

West One has launched a green second-charge mortgage range for BTL properties with an EPC rating between A-C.

The new suite offers variable rate options, as well as two- and five-year fixes, with rates starting from 5.29% at 65% LTV, 5.59% at 70% LTV, and 5.89% at 75% LTV.

The lender has also created a new second-charge BTL plan, which offers enhanced loan sizes and rates starting from 5.39%.

The BTL Plus plan offers loans up to £350,000 at maximum 65% LTV, £150,00 at up to 70% LTV, or £125,000 at up to 75% LTV.

Facilities of maximum £500,000 at 65% LTV can be considered by referral. 

Both variable and five-year fixed-rate plans have options without ERCs and some light adverse credit is acceptable.

In addition, the specialist lender has reduced the five-year fixed rates on its Apex 1 plan available to homeowners by up to 106 basis points.

Marie Grundy, managing director for second-charge mortgages at West One (pictured above), said: “As part of West One’s ESG strategy, we have been working on designing a green second-charge mortgage for landlords.

“Although green mortgages are widely available in the BTL market, until now there haven’t been equivalent products available for landlords looking to raise second-charge finance on more energy efficient properties — at West One, we are always looking at ways to bring more innovative second-charge products to market. 

“Landlords are expected to ensure their properties have an EPC rating of at least C for new tenancies by 2025 and existing tenancies by 2028. 

“We know there will be demand for our second-charge green mortgage, as landlords can use it to upgrade and retrofit properties that are rated D or below, which applies to many rental homes.”

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