2 Year Discount Mortgage (up to 70% LTV)
This Buy to Let mortgage allows you to purchase residential property for letting purposes or to remortgage residential property that you already own and let.
The maximum Loan to Value (LTV) is the amount of a mortgage loan expressed as a percentage of the purchase price or valuation, whichever is the lower.
Interest Rates:
For House Purchase & Remortgages
| Period of loan | Rate Payable | Additional Information |
|---|---|---|
| Months 1-24 (0.79% discount) | 4.20% Variable Rate | Up to £250 contribution towards cost of insurances arranged via Monmouthshire Insurance Services Limited (1st year only) |
| Month 25 onwards (no discount) | 4.99% Standard Variable Rate | |
| The overall cost for comparision is: | 5.1% APR |
Interest rates are variable. All discounts are off our standard variable rate currently 4.99%.
Product Code: DO65
Key Features:
| Product Fee | £599 |
| Maximum Loan to Value % | For Purchase and Remortgage the maximum loan to value within our local area is 70%* |
| Loan Size | £30,000 to £250,000 |
| Early Repayment Charge | During the first 2 years an early repayment charge of 3% of the amount repaid will be incurred. After this period no early repayment charges apply. |
| Overpayments | Regular overpayments are not permitted during the first 2 years from completion. You may make capital repayments of up to 5% of the original sum borrowed in each of the first 2 years without an early repayment charge. Following receipt of a lump sum payment, the amount that you owe, and so the amount of interest you pay, is reduced immediately. |
| Notes | Up to £250 contribution towards cost of insurances arranged via Monmouthshire Insurance Services Limited (1st year only). |
Further Information:
- * Our local geographical area is defined as postcode areas: NP, CF, SA, LD, WR, GL, HR and BS. Loan as a percentage of the purchase price or valuation, whichever is the lower. Maximum Loan to value for new build flats/apartments less than 3 years old is 50%. No exceptions allowed.
- This mortgage is available to people seeking to buy a property in order to let it and those wishing to re-mortgage a property from another lender which is already let.
- Rental income should be a least 25% more than the mortgage interest repayments (based on the initial rate payable or Standard Variable Rate currently 4.99% plus 1%, whichever is greater).
- If you sell the house these terms can be transferred to any new loan up to the amount of this loan, provided it is used for But-to-Let purposes and completes at the same time as your existing loan is paid off. You must still also meet the Society's lending criteria at the time. If the new loan is for less than this loan or you do not transfer these terms, an early repayment charge is payable on the difference in the amount of this loan and the amount transferred. All loans must be secured on land in England or Wales.
- Mortgage interest is calculated on a daily basis.
- Loans are available to persons aged 25 or over, one of whom must earn a salary of at least £25,000 per annum, and be an existing property owner. Loans are subject to status and valuation of a suitable property, over which security will be required. All lending will be subject to appraisal of the financial standing of the applicants.
Links to further important information and details of how to apply can be found on the top right-hand-side of this page.
Applications will not be considered in respect of:
- Flats above shops or other commercial properties
- ‘Right to Buy’ council homes
- Properties sold at auctions
- Multiple or short-term lets – for instance to students, DSS tenants or holiday lets
Monmouthshire House, John Frost Square, Newport, NP20 1PX
Tel: 01633 844444
Fax: 01633 844445
Monmouthshire Building Society is authorised and regulated by the Financial Services Authority (FSA), registration number 206052
Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.
