UCB Home Loans, the specialist lending subsidiary of nationwide Building Society, is making a comeback to the buy to let market with its buy2let mortgage.
The product is aimed at the self-certification market, such as the self-employed or people with variable incomes who want to buy a property to rent but have trouble providing a lender with proof of income.
Buy2let allows the purchase of up to two properties and its rate will track the Bank of England base rate, with a one per cent discount for the first three years, giving a starting rate of 6.99 per cent.
Compared to some of the other products on offer in the currently buoyant buy to let market, this is a competitive product. The best tracker rate on the market on August 29, 2000 is offered by the Manchester Building Society's buy to let mortgage, which has a four per cent discount, giving a rate of 3.7 per cent. Manchester Building Society's product offers a loan to value of 80 per cent, compared to a maximum of 75 per cent for buy2let.