Foundation launches new Large HMO and Short-Term Let products and cuts fixed-rates
22 April 2026
Foundation, the intermediary-only specialist lender, has today (22nd April 2026) announced the launch of new specialist products covering both Large HMO and Short-Term Let, and has also cut fixed-rates on a number of Standard, Standard HMO and MUFB products.
The new Large HMO products include a two-year fixed-rate at 5.29% (with a 3% fee) and a five-year fixed-rate at 5.99% (with a 4% fee). The Short-Term Let products include a two-year fixed-rate at 5.19% (with a 3% fee) and a five-year fixed-rate at 5.89% (with a 4% fee).
Foundation said these new products were aimed at two growing areas of the buy to let market, where landlord borrowers were targeting higher yields. Having both two- and five-year fixed-rates offered brokers and their landlord clients a variety of options for these distinct property types.
The lender has also announced price cuts across a number of Specialist and Standard fixed-rates.
It has cut its Standard HMO two-year fix (with a 3% fee) by 0.25% from 5.24% to 4.99% and its five-year fix (with a 4% fee) by 0.10% from 5.79% to 5.69%. MUFB fixes have also been cut, the two-year fix (with a 3% fee) from 5.34% to 5.09%, and the five-year fix (with a 4% fee) from 5.89% to 5.79%.
In its Standard buy to let range for F1 borrowers - those with an almost clean credit history - its two-year fix (3% fee) has been cut to 4.89%, and its five-year fix (4% fee) to 5.59%.
Foundation has also reintroduced its F1 First-time Buyer/First-time Landlord product to support new landlord borrowers making their first foray into property investment. This is a five-year fix which comes with a rate of 6.54% and has a 1.5% fee.
The new products and rate cuts follow quickly on Foundation’s launch last week of new Limited Edition residential remortgage products and other cuts across a large number of its residential and buy to let mortgages.
Grant Hendry, Director of Sales at Foundation, commented:
“With markets continuing to ease over the past few days, we’re maintaining our ongoing commitment to cutting rates where possible, and also launching new products specifically across higher-yielding property types, such as Large HMOs and Short Term Lets.
“Landlord borrowers continue to seek product options for these types of properties as they look for improved yield, so we’re pleased to be able to offer both two- and five-year fixed-rate options.
“At the same time, we’re able to introduce our product specifically for new landlords who are just starting out on their investment journey and who don’t own a property. We try not to forget that while established landlords make up the bulk of the market, there are those who need finance in order to begin investment, and this product is designed to do this.
“Following the changes we introduced last week, we believe we’re continuing to offer a variety of options to help brokers and their landlord clients.
“We’ll continue to monitor the market situation and act both appropriately and responsibly, while maintaining the depth and breadth of our overall buy to let offering.”
Learn more: www.foundationlending.co.uk
