Principality switches their 1.99% buy-to-let mortgage

by Aaron Strutt

Mar 27 2014

Principality for Intermediaries has switched their 1.99% two-year fixed rate buy-to-let mortgage into a discounted deal at the same rate.

The headline grabbing mortgage was launched late last year and was one of the lowest ever buy-to-let fixed rates. 

Aaron Strutt, product manager at Trinity Financial, says: “It is highly unusual for a lender to keep the same headline rate but change it to a discounted deal. Many borrowers prefer fixed rates rather the lender cannot raise their rate in line with any standard variable rate increases.”

Principality's new rate is also 1.99% although the lender provides a 3% discount from their standard variable rate, which is currently 4.99%. The arrangement fee is 2.5% of the loan amount.

Borrowers will need a 40% deposit to access this rate and the maximum loan size is £250,000. The APR is 4.7%.

March 27, 2014