Saffron For Intermediaries has cut the rates on both its Next Step and Buy to Let Light Refurbishment mortgages.

Deals from the specialist lending channel of Saffron Building Society are as follows:

Next Step
To help second and subsequent time buyers struggling to raise a deposit take their next step on the housing ladder

• Rate cut from 5.99% to 5.39%
• Available to 95% LTV, up to £500,000
• No early repayment charges
• £495 arrangement fee

Buy to Let Light Refurbishment
For landlords buying or remortgaging a property which requires refurbishment work to be undertaken before being let

• Rate cut from 5.89% to 5.23% (SVR minus 0.16%), for 2 years from completion
• Available to 75% LTV of the end value of the property, up to £500,000
• For purchase or remortgage
• 2.5% arrangement fee and 2% ERC in the first two years

Peter Izard, head of mortgages at Saffron For Intermediaries, said: “We’re delighted to have reduced our rates on both of these products. The Next Step mortgage is ideally suited to borrowers wanting to move up the housing ladder who don’t have access to more than a 5% deposit. It has a completion fee of just £495 and has no early repayment charges.

“The Buy to Let Light Refurbishment mortgage is aimed at landlords buying property in need of refurbishments such as new kitchens, bathrooms, windows and roofs. Loans are available up to 75% of the end value (after all work has been completed) of the property.”

Andy Young, chief executive of specialist distributor TBMC, added: “It’s always welcome news when lenders reduce rates and I’m particularly delighted to see that the Saffron Building Society’s Light Refurbishment mortgage has been made even more competitive.

“This is an excellent deal for landlords wanting to buy properties with development potential and is ideally suited for today’s market, where there are good opportunities to buy property at the right price.”