Foundation Home Loans has just announced some cuts to its buy-to-let mortgage rates.

Big savings across the board

The biggest cuts are on Foundation’s F1, F2, and F3 products, with some rates dropping by as much as 0.5%. This means you could save hundreds or even thousands of pounds over the life of your mortgage.

Here’s a breakdown of the key changes:

• F1 and F2 two- and five-year fixed rates: Reduced by up to 0.35%. Rates now start from a very competitive 5.29% with a 1.5% fee, and you can borrow up to 80% of the property’s value.
• F2 holiday let mortgages: Two- and five-year fixes are now available from 6.19% with a 2% fee. You can borrow up to 75% of the property’s value.
• F2 HMO mortgages: The limited edition five-year fixed rate has been slashed to 5.74%. And it gets even better – the fee has been reduced from £4,995 to just £2,995. You can borrow up to 75% LTV on these specialist HMO products.
• F1 ERC3 five-year fixed rate: This product comes with early repayment charges for the first three years only. The rate has been cut by 0.20% to 5.79% with a 1% fee, available up to 75% LTV.
• Green mortgages: F1 and F2 green five-year fixed rates have also been reduced by up to 0.20%. These eco-friendly mortgages are now available from 5.44% with a 1.25% fee, and you can borrow up to 75% LTV.

More than just rate cuts

Foundation has also reduced rates on a range of other products, including:

• Remortgage-only deals: Make the switch and potentially save.
• EPC Saver mortgages: Get a free EPC (Energy Performance Certificate) plus £1,000 cashback!
• Fee-assisted HMO mortgages: Even more options for landlords with HMO properties.
• Short-term let mortgages: Ideal for landlords looking to tap into the Airbnb market.

Why is Foundation making these changes?

Tom Jacob, Director of Product and Marketing at Foundation Home Loans, explained that the company wants to give landlords and property investors access to a wide range of products at competitive rates.

He also highlighted that more and more borrowers are looking for specialist property types, such as HMOs and holiday lets, which can offer higher yields.