Santander is launching a brand new one-year fixed-rate buy-to-let mortgage.

The new deal locks in a rate of 5.37% for a whole year. That means you know exactly how much your mortgage payments will be for the next 12 months, giving you some much-needed peace of mind in this unpredictable market.

Of course, there’s a catch – a fee of £1,749. This is on top of your usual mortgage costs. You’ll also need a 75% loan-to-value (LTV). This means you’ll need to put down 25% of the property’s value as a deposit.

Why is this a Big Deal?

With interest rates going up and down like a rollercoaster, it’s hard to predict what your mortgage costs will look like next year. This new one-year fix gives you a chance to lock in a rate for a shorter period, giving you flexibility.

Think about it:

• Flexibility: You can see how things are going in the market and then decide if you want to remortgage with a longer fix or go for another one-year deal.
• Certainty: Knowing your mortgage costs for a year helps you budget for your rental income and plan your finances more confidently.

Other Santander Options

If a one-year fix isn’t your cup of tea, Santander has other deals on the table:

• Two-year fix at 5.29% for 60% LTV with NO fee.
• Five-year fix at 4.81% for 75% LTV with NO fee.
• Two-year fix at 5.43% for 75% LTV with NO fee.
• Two-year fix at 4.78% for 60% LTV with a £1,749 fee.

It’s definitely worth comparing these offers to find the best fit for your needs and circumstances.

What’s the Bottom Line?

Santander’s new one-year fix could be a breath of fresh air for landlords, offering a bit more control and flexibility in a market that feels anything but stable. If you’re looking for a way to lock in a rate for a shorter period, this could be worth exploring.

Remember, it’s always wise to speak to a mortgage advisor to discuss your options and find the best deal for your unique situation.