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.
NatWest Announces Rate Reductions Across Multiple Mortgage Ranges
NatWest has announced it will be making rate reductions on its new business, existing customer, and additional borrowing product ranges from tomorrow. The changes affect both buy-to-let (BTL) and residential mortgage products, with reductions across a variety of loan-to-value (LTV) bands and product types.
For new buy-to-let customers, two-year fixed rate purchase products at 60% LTV will be lowered by 16 basis points from 4.94% to 4.78%, with a product fee of £995. Five-year fixed rate purchase products will be reduced by 17 basis points from 5.03% to 4.86%, also with a £995 fee. BTL two-year fixed rate remortgages at 75% LTV with a fee of £3,499 will decrease by 16 basis points to 4.54%, and the five-year fixed at 75% LTV with a £995 fee will be cut by 13 basis points to 5.05%.
For first-time buyers, NatWest will trim the price of its two-year fixed rate at 90% LTV with no fee from 5.56% to 5.35%. This product comes with £250 cashback.
NatWest will also reduce rates on its high value purchase residential products. Two-year tracker rate purchase products at 60% LTV will be cut by 29 basis points to 4.20%, at 75% LTV by 35 basis points to 4.33%, at 80% LTV by 23 basis points to 4.51%, and at 85% LTV by 26 basis points to 4.51%. All these products have a £995 fee.
Additionally, residential two-year fixed rate purchase products will be reduced, including the 60% LTV product with a £995 fee, which will be lowered by 19 basis points to 4.59%.
Remortgage rates will also decrease. The two-year fixed rate remortgage at 60% LTV with no fee will go down from 5.31% to 5.11%. Two-year tracker rate remortgages will also be lowered, including the 80% LTV with a £995 fee, which is being cut by 54 basis points to 4.42%, and the 85% LTV with a £995 fee, which is being decreased by 52 basis points to 4.44%.
Meanwhile, Accord Mortgages has announced rate increases effective tomorrow. Two-year product rates will rise by up to 0.17%, three-year product rates by up to 0.13%, and five-year product rates by up to 0.05%. All end dates have been extended to 30 September.
These changes may be relevant for letting agents and inventory clerks monitoring mortgage product trends for landlords and property investors.
Source: Mortgage Strategy