Press
A&L changes BTL range
Story by: David Pawsey Magazine: MortgageAdviser Published Wednesday , May 28, 2008
Alliance & Leicester, Buy-to-let, www.alliance-leicester.co.uk
Lender says...
Alliance & Leicester has made changes to its buy-to-let mortgage range.
The two-year fixed rate product has been increased from 6.49 per cent to a rate of 7.14 per cent.
This product is available up to 75 per cent loan-to-value and has an arrangement fee of 2.5 per cent.
The rate is fixed until 31 July 2010 and there is an early repayment charge of 5 per cent until this date.
Borrowers can overpay by 10 per cent a year without incurring a charge. The minimum loan amount available is £25,000 and the maximum is £500,000.
A&L will also no longer accept buy-to-let portfolio or paper applications. All buy-to-let applications must now be received online.
Adviser says...
James Carter, proprietor of London-based IFA Independent James, said Alliance & Leicester was probably trying to manage the amount of business it was receiving.
He said: "It was obviously busy on 6.49 per cent and want to take less business. A lot of lenders are doing this at the moment, they offer a decent rate for a short time and then pull them when the volumes get too high."