There are signs that the buy to let market is hotting up again. At Umega Lettings we’re receiving a lot of enquiries from new property investment clients looking to purchase buy to let properties in Edinburgh. You can review earlier blogs from here containing more information on some great buy to let options in Edinburgh. In the past month a huge amount of buy to let prospects have been added to the market in traditional buy to let areas including Marchmont, Newington, Bruntsfield, Polwarth and Fountainbridge.

So, we thought it would be helpful to our investment sourcing team and to our buy to let clients to ask a local insurance Broker, Borland Financial Management, to provide us with up to date information on current mortgage rates so that our buy to let investors have a better idea of the mortgage deals available at the moment so they can take advantage of the best deals. Here goes;

Mortgage rates

With the Bank of England base rate still seemingly stuck on 0.5%, mortgage rates have never been cheaper. If you’re looking to borrow money, or are looking to re-mortgage then there has never been a better time to do it than now. At present the average fixed-rate mortgage has tumbled in recent months to just 3.52%, according to recent figures from Halifax. The average standard variable rate is 4.36%.

Even cheaper rates

You can get even cheaper rates if you have plenty of spare equity or a large deposit and a clean credit record. For borrowers falling in to this bracket, the most competitive 2 year fixed rate mortgages start at below 2%. At present you can get a two-year fixed-rate from around 2% and a five-year fix for under 3.5%. These rates are available up to 60% loan-to-value. If you need to borrow 90% or 95%, however, you could pay between 4.5% and 5%. Unlike in recent years these mortgages are also available to first time buyers and with the introduction of some new lenders there are more products to choose from.


It is important to factor in the fees when comparing mortgages. In some instances it may work out cheaper to go for a product with a higher rate in return for a lower arrangement fee. In others it can be worth paying a high fee in order to secure the lowest rate – it all depends on the amount you are looking to borrow.

Looking for more information?

For more information on mortgage rates and buy to let borrowing, contact Allan smith at Borland Financial Management on 01383 623300 or email [email protected] to make sure you get the best buy to let deal.