New stepped tracker from The Mortgage Works

Date:Thursday 4th February 2010
Author: Max Freedman

The Mortgage Works has announced that it is releasing a new stepped tracker product for the buy-to-let market.

This new product is available with a rate of 4.14 per cent in addition to the Bank of England base rate. It currently stands at 4.64 per cent.

During the second year of the loan, the rate steps down to 2.14 per cent plus the base rate, which will be 2.64 per cent if the Bank of England leaves the rate at its current level.

In addition to this new product, the institution has also extended its let-to-buy range to 70 per cent loan-to-value from 65 per cent.

Tracie Pearce, strategic product marketing manager for The Mortgage Works, said: "These products are unique to the buy-to-let market, designed to help landlords budget against potential base rate increases."

Recent figures from the Council of Mortgage Lenders found that the number of people taking out a mortgage in January was down on the £13.4 billion lending peak in December.