Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Strategy. Read the original article for full details.
Coventry Building Society to Adjust Residential and Buy-to-Let Rates
Coventry Building Society is set to increase rates on a range of residential fixed-rate mortgage products from Wednesday, while also reducing prices on some buy-to-let and limited company buy-to-let deals.
The lender has notified brokers with two days’ notice that certain residential deals will see rate rises. Coventry has not disclosed the exact scale of these increases.
For residential mortgages, all two-year fixed rates for both new and existing borrowers—excluding offset rates—will go up. The changes also affect all two-year fixed remortgage rates at 75% loan-to-value (LTV) and all 90% LTV purchase rates for new borrowers. Additionally, all three-year fixes at 65% and 85% LTV, and all five-year fixes at 65% and 90% LTV for existing borrowers, will see rate increases. Five-year fixes at 85% LTV with no fee will rise, while reductions will be made to the fee version of these products. All fixed interest-only rates for existing borrowers are also set to increase.
In contrast, Coventry will implement price cuts across its buy-to-let and limited company buy-to-let mortgage ranges.
These changes may impact letting agents and inventory clerks by influencing landlord and investor decisions regarding property purchases and remortgages.
Source: Mortgage Strategy