Chelsea launches new buy-to-let mortgages

Chelsea Building Society has announced the launch of two new mortgages for landlords, as well as reduced rates on a range of other buy-to-let deals.

Britain's sixth largest building society has confirmed the details of two buy-to-let tracker mortgages, both of which will follow the Bank of England's base rate – currently 4.75 per cent – for the next two years.

The first deal will remain 0.02 percentage points below the country's base interest rate, though demands an arrangement fee of £2,750. Alternatively, the second mortgage offer includes a lower initial charge of £895, but tracks 0.29 percentage points above the base rate.

Chelsea has also lowered the rates on a swathe of fixed-rate buy-to-let mortgages.

The building society's standard two-year fixed-rate landlord mortgage now charges 5.3 per cent interest, as opposed to the previous level of 5.45 per cent. A buy-to-let mortgage with a flat valuation charge now earns interest at 4.99 per cent, down from 5.14 per cent.

And remortgaging with Chelsea 's fees assisted fixed-rate buy-to-let mortgage, now accrues interest of 5.6 per cent, as opposed to 5.75 per cent. The interest level on the building society's three-year fixed-rate landlord deal has also been dropped from 5.7 per cent to 5.55 per cent.