Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.

Newcastle BS Launches Tracker Mortgages; Principality BS Adjusts Product Transfer Rates

Newcastle for Intermediaries, the broker-facing division of Newcastle Building Society, has released a new range of tracker mortgages. Principality Building Society is also making changes to its product transfer mortgage rates, with both reductions and increases set to take effect from 1 June.

Newcastle Building Society’s new tracker deals are linked to the current Bank of England base rate, with pricing starting at 4.55%. The mutual states that these products are designed to support borrowers during a period of interest rate uncertainty and offer flexibility, as there are no early repayment charges. The tracker options are available at 80% loan to value (LTV) for residential, interest-only, buy-to-let (BTL), and Enhanced Plus borrowers. The Enhanced Plus range allows lending up to six times income.

Principality Building Society is updating its product transfer mortgage range. From 1 June, two-, three-, and five-year fixed and discount residential rates at 65% LTV will be reduced by up to 0.25%, and reductions of up to 0.3% will be made at 75% LTV. For residential product transfers at 85% and 90% LTV, selected two-, three-, and five-year fixed and discount rates will decrease by up to 0.4%. Two- and five-year fixes at 95% LTV for shared ownership will see cuts of 0.15%, and BTL rates will be reduced by as much as 0.2%.

However, Principality is also making selected increases. Two-year tracker rates will rise by up to 0.15%, and three- and five-year fixes at 95% LTV will increase by 0.05%. Selected holiday let rates will be increased by up to 0.15%.

These changes may be relevant to letting agents and inventory clerks monitoring mortgage product trends, particularly for clients considering buy-to-let or holiday let properties.