"This new buy-to-let product range with lower percentage product fees is designed to reduce the total cost of the loan for buy-to-let borrowers."
Foundation's new short-term let five-year fix starts at 3.94% up to 65% LTV and 4.29% up to 75% LTV with a flat fee of £1,495.
Foundation’s percentage product fees have been halved to 1% on all two-year fixed-rate products ad reduced by 0.5% to 1.5% on all five-year F1 and F2 standard property products.
As well as the fee reductions, the lender is making a number of rate reductions by up to 0.25% for several buy-to-let products including its HMO five-year fix at 75% LTV reduced to 3.44%, a large HMO/MUB five-year fix at 75% LTV reduced to 3.54%, and the short-term let five-year fix at 65% LTV reduced to 3.74%.
George Gee, commercial director at Foundation Home Loans, said: “We have been able to significantly reduce the product fees across our two- and five-year fixed rates while maintaining, and in many cases even reducing, rates. This new buy-to-let product range with lower percentage product fees is designed to reduce the total cost of the loan for buy-to-let borrowers.
“Due to the popularity of flat fees across the rest of our range we’ve also introduced a five-year fix which comes with a £1,495 fee for those purchasing or remortgaging short-term lets, again designed to keep down the overall cost of the loan.”
