Permanent TSB aiming for buy-to-let investorsMonday 09 December 2013 14.35
Permanent TSB is hoping to capitalise on increasing levels of activity in the construction sector with a range of new products being launched aimed at the buy-to-let sector.
Among the new products is one aimed at Irish people living abroad who might want to purchase property here.
To qualify for the new mortgage, the person must earn over €100,000, or the equivalent in their local currency.
A maximum loan to value of 60% will apply.
The new product will also be available to UK citizens who wish to invest in Irish residential property.
"We have been very successful in lending responsibly to owner-occupiers this year and we are building on this success with new market-leading products for the buy-to-let market in response to strong customer demand," commented the company's Head of Mortgage, Ger Mitchell.
The bank is also launching new mortgage rates that are up to 0.38% lower than its previous rates, and better rates for borrowers with lower loan to value ratios, who contribute more to the purchase price from their own savings.
Mr Mitchell rejected suggestions that the new products will squeeze family home buyers out of the market. He said that investors were looking for a very different type of property to the type being sought by those looking to purchase a family home.
He also rejected suggestions that the bank was adding to the mortgage arrears problem, which is most acute in the buy-to-let sector.