Santander cuts fixed rates across resi and BTL ranges

Monmouthshire BS and Gatehouse Bank also reduces rates on select deals

Santander cuts fixed rates across resi and BTL ranges

Santander UK has announced fixed rate reductions of up to 23 basis points (bps) across its residential and buy-to-let (BTL) product ranges, effective from tomorrow, July 16.

The move includes new deals for home movers and first-time buyers (FTBs), with 95% loan-to-value (LTV) five-year fixed rates at 4.65% for home movers and 4.70% for FTBs, both with no fee and £250 cashback.

The lender is also reducing product transfer fixed rates by up to 0.16%. Tracker rates remain unchanged.

For new business, the high street lender is cutting residential home mover fixed rates by up to 17bps on two-year deals, up to 16bps on three-year, up to 13bps on five-year, and up to 15bps on 10-year products.

FTBs will see reductions of up to 18bps on two-year fixed rates, up to 17bps on three-year, up to 15bps on five-year, and up to 23bps on 10-year deals. Remortgage rates are also being lowered, with most 60-90% LTV two-year fixed rates down by up to 10bps, and 10-year rates by up to 23bps.

Buy-to-let purchase rates are being cut by up to 0.21% on two-year fixed products and up to 0.14% on five-year deals. BTL remortgage rates are down by up to 0.15% on two-year and up to 0.06% on five-year fixed rates.

For product transfers, most residential two-year fixed rates are being reduced by up to 8bps, three-year by up to 6bps, five-year by up to 5bps, and seven-year by up to 10bps. BTL transfer rates are also seeing cuts of up to 11bps on two-year and up to 6bps on five-year products.

In related moves, Monmouthshire Building Society has reduced remortgage fixed rates by up to 16bps, with some deals now below 4%. Its two-year fixed residential remortgage at 75% LTV is priced at 3.99%, and the five-year equivalent at 4.05%.

At 80% LTV, the two-year fixed is 4.15% and the five-year is 4.25%. At 90% LTV, the two-year fixed is 4.35%, and the five-year is 4.3%.

Meanwhile, Gatehouse Bank has lowered rental rates – a Shariah-compliant alternative to interest rates – by up to 20bps on two-year and five-year fixed term buy-to-let purchase plans. Rates now start from 5.64% for a two-year fixed at 80% finance-to-value.

The reductions apply to all standard and green two-year and five-year products for both new and existing customers, including houses in multiple occupation, multi-unit freehold blocks, and limited company deals.

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