Foundation Home Loans Launches New Supported Buy-Lease Line
“Our fee assistance options have proven to be very popular with advisors and their owner clients, as they allow borrowers to keep their upfront costs low.”
Foundation Home Loans has launched a number of new products, including paid buy and remortgage options, two fixed-cost HMO offers, and multi-unit blocks (MUBs), in addition to rate reductions on its LTV products. at 80%.
Paid options – which all come with a flat fee of Â£ 1,495, a free appraisal, no application fee, and Â£ 250 cash back – are available to individual owner borrowers and limited companies up to 75% LTV on a purchase or re-mortgage basis. Two-year fixed rates start at 3.39% and five-year fixed rates between 3.59% and 65% LTV, with LTV rates of 75% starting at 3.59% and 3.74% respectively.
Foundation is also launching new standard HMOs (up to six occupants) and big five-year HMO / MUB fixes at 75% LTV, available for LLCs and individual owners, which start at 3.79% and come with flat fee of Â£ 1,495.
In addition, the Foundation reduced the rates of its purchase-lease products from 80% LTV over two and five years by individuals and limited liability companies to 3.79% from 3.99% and 4.29% against 4.49% respectively.
The ICR is calculated at 125% for limited liability company mortgages at the rate of pay for the five-year fix, and at the notional rate of 5.5% on the two-year fix.
George Gee, Business Director of Foundation Home Loans, said: âOur paid options have proven to be very popular with advisors and their owner clients, as they allow borrowers to keep their upfront costs low and access very competitive prices, whether for a sole proprietorship or limited liability company,â and whether they are focused on standard properties or HMOs. .
âIn particular, we think these new paid products will appeal to homeowners looking to buy multiple properties, as we’ve expanded their availability to both buyers and remortgage. Our new paid HMO / MUB offerings should also support homeowners who want higher value, higher yielding properties without paying a percentage fee.
âOverall it is clear that there is a very strong continued demand from homeowner borrowers for a specialized approach to underwriting and our commitment to keeping homeowner costs low will continue as we seek to ensure that the Foundation’s wide range of purchases and rentals serves the intermediaries who advise in this area. “