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.
Major Lenders Cut Mortgage Rates in Widespread Repricing
Barclays, NatWest, Santander, and TSB are among the latest lenders to announce reductions in mortgage rates this week, as part of a significant wave of repricing. Other lenders, including Molo and Kensington, have also introduced rate cuts across various products.
NatWest is reducing rates by up to 31 basis points, with its sharpest cuts on 75% loan-to-value (LTV) two-year fixed Help to Buy shared equity remortgage products, which will drop by 31 basis points to 4.99%. A fee-free remortgage two-year fix at the same LTV will also fall by 31 basis points to 4.84%.
Santander’s reprice, effective tomorrow, includes reductions of up to 21 basis points on selected first-time buyer rates. For example, a 60% LTV two-year fixed with a £999 fee and £250 cashback will be reduced by 21 basis points to 4.44%. A 95% LTV three-year fixed first-time buyer deal with no fee and £250 cashback will fall by 19 basis points to 5.3%. For home movers, a 60% LTV two-year fix with a £1,499 fee and £250 cashback will decrease by 18 basis points to 4.32%.
TSB’s reprice, which took effect today, includes cuts of up to 20 basis points to two, three, and five-year fixed products for purchase. Barclays is lowering selected three-year fixed remortgage products by up to 13 basis points, and making cuts of up to 10 basis points across selected purchase and Green Home products.
Molo Finance is making substantial reductions to some specialist deals for international borrowers, with its steepest cut on non-resident five-year fixes, down by 53 basis points to start at 6.07%. Kensington is making more modest reductions, lowering some buy-to-let deals by up to 10 basis points.
Trinity Financial’s Aaron Strutt highlights Barclays’ Green Home five-year fixed at 4.23% with an £899 fee at 60% LTV, now reduced from 4.33%. This product is available only for new-build homes with an energy rating of A or B.
These changes may be relevant for letting agents and inventory clerks monitoring mortgage trends, particularly in the buy-to-let and new-build sectors.
Source: Mortgage Strategy