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In the Pink

Pink Home Loans

Mortgage Trust Select 5.39% Fixed

Type: Fixed-rate buy-to-let mortgage

Fixed term: Until April 30, 2007

Fixed rate: 5.39%

Minimum loan: 30,000

Maximum loan: Up to 85% of valuation subject to a maximum of 350,000, up to 75% of valuation subject to a maximum of 500,000

Income multiples: Rental income must be at least 125% of mortgage repayments

Conditions: Maximum of 10 properties up to a maximum total of 1m

Arrangement fee: 499

Redemption fee: 6% until April 30, 2007

Introducers fee: 0.5% of original loan

Tel: 08707 590170

This deal from Pink Home Loans is a fixed-rate buy-to-let mortgage at 5.39 per cent until April 30, 2007.

Charcol product development manager Elliot Nathan believes this product stands out from the crowd and will be very popular among would-be landlords.

He says: “The rate, at 5.39 per cent, is highly competitive and the loan is available up to 85 per cent of valuation. Another great feature is that the rental calculation is calculated on the original pay rate and not at a standard variable rate.” He also likes the fact that rental income must be at least 125 per cent of the mortgage repayments, not the usual 130 per cent minimum.

Asked what he dislikes about the mortgage, Nathan can think of nothing major to complain about. However, he rates the product low on flexibility. He concludes: “I have nothing else to add other than this is a great deal.”

BROKER RATINGS

Suitability to market: Good
Flexibility: Poor
Competitiveness: Good
Adviser remuneration – Good

Overall 9/10

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