Landbay, the buy-to-let lender, now has a green mortgage range, offering rates up to 0.1% lower for properties with qualifying energy ratings. These green rates are only for properties that have been registered for at least 24 months with an energy performance certificate (EPC) rating of C or above.
The lender hopes to incentivise landlords to make their rental properties more energy efficient, in line with government targets.
Properties with an EPC rating of A or B qualify for a five-year fixed rate at 65% LTV at 3.15% (instead of 3.25% for non-green) and for 75% LTV at 3.25% (would be 3.35% for non-green).
Paul Brett, managing director, intermediaries at Landbay, said: “Properties being let by landlords are obliged to have at least an E rated EPC,”
“However, the government has said it wants as many as possible to be upgraded to band C or above by 2030.
“We hope our green mortgage range will go some way to help achieving that goal and incentivise more landlords to consider adding energy efficient properties to their portfolio.”
Original article featured here…
Earlier this month, Landbay launched two new products, designed for landlords with three or less properties; a two-year fixed rate at 2.85% and a five-year fixed rate at 3.25%, both at up to 65% LTV and available on loans up to £1.5m.