FHL launches new products and cuts rates

Foundation Home Loans' specialist residential mortgage brand 'Residential by Foundation’, has launched new products to keep pace with shifting demand from borrowers 'just beyond the mainstream' in terms of their wants and needs.

Related topics:  Finance,  Mortgages
Property | Reporter
16th April 2024
"Specialist residential borrowing is becoming an ever-growing part of our market, and at ‘Residential by Foundation’ we are continuing to evolve our proposition to ensure it takes this into account"
- Tom Jacob - FHL

FHL's latest products include an F1 – for owner-occupiers who just fall outside the mainstream or need added flexibility – a five-year fixed-rate Limited Edition mortgage, available up to 80% LTV, with a rate of 5.99%, a maximum loan amount of £750k, and a fixed £1,295 fee, for purchase or remortgage.

The lender has also reduced rates on both its F1 and F2 – for borrowers with recent blips within the last 24 months – Special Fee-Assisted two- and five-year fixed-rate products. In the F1 range, rates have been reduced by 20 basis points (bps), now starting at 6.24% with a fee of £795, while in the F2 range, rates have also been reduced by 20 bps, now starting at 6.34%.

‘Residential by Foundation’ has also reduced rates on selected F1 and F2 products in its Core range, which includes Green mortgages – for owner-occupier borrowers purchasing or remortgaging energy-efficient properties which have an EPC rating of C or above.

Selected Core F1 two- and five-year fixed-rate products have been reduced by 10 bps, up to 85% LTV, with F2 two- and five-year fixed-rate reduced by up to 15 bps, with rates starting at 6.19%.

‘Residential by Foundation’ also offers a range of owner-occupied mortgages for both F3 borrowers – for those who have experienced client problems in the last 12 months – and F4 borrowers – for those with no significant adverse credit during the last six months.

Tom Jacob, Director of Product and Marketing at Foundation Home Loans, said: “We continue to see a growth in demand from residential borrowers who are just beyond the mainstream in terms of their finances or their wants and needs, and it’s important we continue to review our product range to support advisers with these types of clients.

“We’re therefore very pleased to be able to announce a new F1 Limited Edition five-year fix, which comes with a competitive rate, is available up to 80% LTV, and comes with a fixed fee.

"Plus we are also using this opportunity to cut rates on our selected F1 and F2 Special Edition and core residential products, making those rates more competitive, and helping borrowers meet the affordability criteria.

“Specialist residential borrowing is becoming an ever-growing part of our market, and at ‘Residential by Foundation’ we are continuing to evolve our proposition to ensure it takes this into account.

"We have products for a variety of borrowers, from professionals to key workers, the self-employed to those with a low credit score, from those with complex incomes to those borrowing into retirement, and we are here to support advisers as they seek the right product solutions for this wide array of borrowers.”

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