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.

The Cambridge Relaunches Interest-Only Fixed Rate Mortgages

The Cambridge Building Society has relaunched a selection of fixed rate mortgage products, including interest-only options. The new range is designed to offer more choice and certainty for homebuyers and homeowners.

The relaunched products include interest-only two- and five-year fixed rate mortgages, available up to 70% loan to value (LTV) at rates of 5.44% and 5.54% respectively. In addition, a repayment option for the two-year fixed rate is available up to 80% LTV.

The Cambridge stated that these products are intended to provide flexibility and reassurance for customers, whether they are buying a home, remortgaging, or seeking more flexible borrowing options. The relaunch is part of the society’s ongoing focus on helping customers find mortgage solutions that suit their needs in a changing market.

Last month, The Cambridge also relaunched several mortgages in its buy-to-let (BTL) and residential ranges. This included the reintroduction of five-year fixed rate products to its BTL range, with options for limited company, expat, and holiday let borrowers up to 80% LTV. For five-year fixed BTL deals, no stress rate is applied if the interest cover ratio (ICR) is 140%, or 125% for limited company BTL.

These developments may be of interest to UK letting agents and inventory clerks monitoring mortgage product changes that could affect landlord and tenant activity in the property market.