Saturday, May 28, 2022
Finance

West One Loans introduces green second charge mortgage

charge mortgage

West One has also created a second charge BTL plan called BTL Plus with rates starting at 5.39 per cent

West One Loans has introduced a green second charge mortgage for landlords with properties with an EPC rating between A and C, in what it says is second charge industry first.

Rates for the green product start from 5.29 per cent, which is the lender’s lowest ever rate for buy-to-let (BTL) second mortgages.

West One has also created a second charge BTL plan called BTL Plus with rates starting at 5.39 per cent. It offers enhanced loan sizes on a range of products for landlords.

The loan sizes range between £350,000 ($455,169.75) and £250,000 ($325,121.25) up to 65 per cent loan to value (LTV), with loans up to £500,000 ($650,242.50) considered by referral. Loans from £125,000 to £100,000 ($162,560.63 to $130,048.50) up to 75 per cent LTV are also now available.

Both variable and five-year fixed rate plans have options without early repayment charges, and some ‘light adverse’ credit is acceptable.

The lender is also reducing five-year fixed rates on its Apex 1 plan by up to 1.06 per cent.

Marie Grundy, managing director of second charge mortgages at West One Loans, said: As part of our ESG strategy, we have been working on designing a green second charge mortgage for landlords.

Although green mortgages are widely available in the BTL market, until now there haven’t been equivalent products available for landlords looking to raise second charge finance on more energy efficient properties. So we are proud to be the first second charge lender in the market to do this, she said.

She said: Landlords are expected to ensure their properties have an EPC rating of at least C for new tenancies by 2025, and existing tenancies by 2028. Landlords can use our second charge green mortgage to upgrade and retrofit properties that are rated D or below, which applies to many rental homes.

Important:

The articles are for information purposes only and Invest for Property shall not be held responsible for any errors, omissions or inaccuracies within it. Any rules or regulations mentioned within the website are those relevant at the time of publication and may not be the most up-to-date.

Invest for Property does not endorse any of the products or services that appear on it or are linked to it and are not liable for any action that you may take as a result of the content of this website, or losses or damage you may incur doing so.

There is no obligation to purchase anything but, if you decide to do so, you are strongly advised to consult a professional adviser before making any investment decisions.

Please remember that investments of any type may rise or fall and past performance does not guarantee future performance in respect of income or capital growth; you may not get back the amount you invested.

Leave a Reply