Multiple lenders announce reduced rates
High street lender Santander has announced a major expansion of its new build mortgage range, launching 43 additional options from Tuesday, May 6.
The lender’s new offerings span two- and five-year fixed and two-year tracker rates, targeting loan-to-value (LTV) bands between 60% and 95%, and include incentives such as cashback and fee-free options.
The enhanced product line includes a two-year fixed deal for homemovers at 60% LTV, priced at 3.89% with a £999 fee, and a five-year fixed at 3.92%. At 85% LTV, a five-year fix is available at 4.28% with £250 cashback, while a 95% LTV five-year fix is offered fee-free at 4.9%. For first-time buyers, two-year fixes at 60% LTV are priced at 3.94%, with 85% and 95% options including cashback and rates of 4.29% and 4.99%, respectively.
New build tracker options for homemovers include a two-year deal at 60% LTV with a rate of 4.64%, and for first-time buyers, a comparable product is available at 4.69%. A fee-free 90% LTV option for both groups is priced at 5.54% for homemovers and 5.59% for first-time buyers. All products come with a nine-month completion deadline.
Santander is also launching three-year fixes at 85%, 90%, and 95% LTVs, all with £250 cashback and free standard valuation. Rates are set at 4.49%, 4.75%, and 5.23% respectively.
“There’s a renewed focus on the new-build market, spurred on by the government’s ambition to create 1.5 million new homes, in part through new towns,” said Graham Sellar, head of intermediary channel for mortgages at Santander.
Beyond new-build products, Santander will also reduce most standard fixed rates for first-time buyers by up to 0.12%, and for homemovers by up to 0.2%. Remortgage rates are also being cut by up to 0.14%, while large loan fixes at 60% LTV will fall by 0.1%. Buy-to-let remortgage fixes at 70% LTV have been introduced, while selected BTL rates for purchases and remortgages are being reduced by up to 0.12%. Product transfer rates across residential and BTL lines will also see cuts.
“We’re pleased to bolster our new-build offering, alongside new three-year fixes and broad reaching rate reductions, to support our brokers and customers access more options to help them on their homeownership journey,” Sellar said, commenting on the latest product updates.
Meanwhile, other lenders operating in the UK mortgage market have also announced rate reductions and product enhancements.
Virgin Money has reduced selected fixed rates by up to 0.17%, including new 75% LTV five-year purchase products starting at 4.09%. Shared ownership and BTL rates are also being cut, along with reductions on product transfer options.
Market Harborough Building Society has lowered its two-year residential fixed rates by 0.25% and three-year options by 0.10%. BTL rates for complex cases now start at 5.45%, supporting borrowers with needs such as top-slicing and lending into retirement.
Digital lender Atom bank has trimmed its Prime residential mortgage rates by up to 0.20%, particularly benefiting 95% LTV borrowers, who can now access fixed rates from 5.09% without fees.
Specialist lender Keystone Property Finance has implemented 0.10% reductions across several product lines, including its new Refurb to Let range. Rates now start from 3.04% for standard BTL loans at 70% LTV.
LendInvest has cut BTL rates by 0.20% on two-year terms and 0.15% on five-year terms, with product transfer rates also dropping. These reductions are supported by recent enhancements to its digital mortgage platform, which now includes AVM and automated checks.
Zephyr Homeloans has also lowered its two-year fixed BTL mortgage rates, offering 2.79% for standard and new-build properties with high EPC ratings, and 2.89% for properties with lower EPC ratings. These apply up to 65% LTV and include a 7% fee.
Guernsey-based investment management firm RAW Capital Partners has launched a range of one- to three-year fixed rate mortgages starting at 6.5%, with discounts for loans above £1 million and for UK expats. The lender also continues to offer tracker loans from 2.00% above base rate and monthly fixed-rate short-term options at 0.69%.
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