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.

Santander, TSB and Barclays Announce Mortgage Rate Cuts Across Key Products

Santander, TSB and Barclays have each announced reductions to their mortgage rates, with several improvements to low loan-to-value (LTV) deals and changes to product fees and loan size limits. These updates affect a range of products relevant to letting agents and inventory clerks monitoring affordability and lending trends in the UK property market.

Santander has lowered new business mortgage rates by up to 21 basis points, with most reductions between 0.03% and 0.17%. For first-time buyers, Santander’s two-year fixed rate at 60% LTV is now 4.44%, down by 0.21%. High LTV borrowing rates have also been reduced, with 95% LTV now at 5.29% (down from 5.38%) and 98% LTV at 5.49% (down from 5.6%). Maximum loan sizes have increased, with borrowing available up to £2 million across most LTV tiers and up to £1 million at 90% LTV. In the new build range, 75% LTV two-year fixes have dropped by 0.14% to 4.56% (with a £999 fee) and 4.81% (no fee). For remortgages, 60% LTV two-year fixed rates now start at 4.38%, with 75% LTV options from 4.48% and 85% LTV from 4.78%. Santander has also streamlined its product fees, with a flat £1,999 fee now applying to loans up to £5 million.

TSB has announced rate cuts across its residential, buy-to-let, product transfer, and additional borrowing ranges. Two-, three-, and five-year fixed house purchase rates in its residential range have been reduced by up to 0.2%, including deals for affordable housing. The lowest available rate for two-year fixes at 60% LTV is now 4.39%. Remortgage rates for two-, three-, and five-year fixes have been reduced by up to 0.15%, with the lowest rate at 60-75% LTV now 4.49%. Additional borrowing rates for residential two-, three-, and five-year fixes have also been reduced by up to 0.15%.

Barclays has implemented rate cuts of up to 13 basis points across its existing business range. For purchase-only rates, three-year fixed rates at 75% LTV are now 4.58%, down from 4.68%. Five-year fixes have also seen reductions, with headline rates at 60% LTV at 4.33% and at 75% LTV at 4.44%. Fee-free five-year fixes at 60% LTV have been reduced to 4.48%. Remortgage three-year fixed rates at 60% LTV are now 4.60%, down from 4.73%. Tracker products have also seen small reductions, with two-year rates at 60% LTV now 4.04% and at 75% LTV now 4.13%.

These changes may impact affordability assessments and borrowing options for landlords, tenants, and property professionals across the UK.