For the first time the Melton Building Society has launched a fixed rate buy to let product with a lower interest coverage ratio than its current product range. The new product has a 5 year fixed rate of 2.75% for business buy to let customers with an interest coverage ratio of 145% of the mortgage payment, calculated on an interest only basis at 4%, making the rental income requirement less onerous. This new product has no application fee and a completion fee of £399.
“Landlords are increasingly looking for longer term fixed rates since they have reached an all time low,” says Dan Atkinson, Head of Sales and Marketing, the Melton. “The combination of a lower ICR calculation and fixed rate on this product makes buy to let from the Melton accessible to a wider range of landlords.”
The Melton offers a range of specialist buy to let mortgage products, including holiday buy to let and family buy to let and the Society accepts first time buyers, first time landlords and non-owner occupiers. Take a look at our Buy to Let Hub.