Remortgage of a BTL with Halifax

tunnel

Hi,

My fix rate with halifax is coming to an end next month. I'm currently on 5.19% which reverts to 4.84% variable(BTL). Rang Halifax and had a hell of a shock,got quoted 6.19% for another 2 year fix WITH a £995 fee...ouch.

Now i'm quite pc savvy and have found a deal at 4.09% with a 2.5% fee fixed for 5 years with virgin money,not the cheapest of deals but still i get security for the 5 yr duration.

Has anyone found anything around this figure but without the fees? And why oh why are Halifax so bloomin expensive..are they trying to retreat from the BTL market?

Tunnel

GMS

Property value? Mortgage required? Monthly rent? Your income?

Many Buy to Let products are broker only so worth a chat with a broker.

tunnel

Hi GMS,
Sorry, property value £90k,Mortgage £45K,rent £475 month and income approx £40k a year,15 years left on mortgage. I've not had chance to talk to a broker as yet, just looking for a few pointers to see where i should be looking?

GMS

Virgin have a bit of cashback on that product so effectively reduces the fee slightly. Lower rates available with similar fees but bigger cashback.

It's a case of finding a balance between rate and fees. You looking for Interest Only or Repayment?

tunnel

I knew i'd miss something out..repayment all the way for me. Is there lower rates on a 5 year fix though and how much cashback we talking? Potentially i could be looking at reducing the length of the mortgage too.

Tunnel

GMS

£500 cashback. Slightly lower rate

tunnel

Well thats £200 more cashback but what should i be looking at for broker fees? Or for the deal your talking about does the broker get paid via the mortgage company? Sorry for all the questions,just i've got another house coming off its fix with the Halifax later this year and forearmed is forewarned.

Tunnel

GMS

Chances are there would be a broker fee on something like this loan amount. Lender would pay commission but only around £150 so likely to require a payment on top.

You may find a broker who would not charge a fee.

kingstreet

You'll only get consent to let from Halifax. If you want a formal buy to let product, you have to remortgage to BM Solutions, LBG's specialist BTL provider.

tunnel

kingstreet wrote: »

You'll only get consent to let from Halifax. If you want a formal buy to let product, you have to remortgage to BM Solutions, LBG's specialist BTL provider.

I rang Halifax direct and was put through to their mortgage advisers,whether that was BM or not i don't know. I currently have a BTL mortgage with Halifax,don't need the CTL,i'm just scouring round to remortgage cos their follow on fixed rates are to put it mildly "extortionate".

GMS,Can you disclose how much lower i could get ratewise? It may then stack up to use a broker inc fee with the extra cashback mentioned.

Tunnel

kingstreet

Halifax doesn't offer new BTL cases, so the CTL option is there for residential mortgage holders (and existing BTL holders coming to the end of a deal) who wish to let their homes. The rates reflect the lenders' lack of appetite for such business.