Several other lenders announce rate reductions and product changes
Barclays is set to reintroduce three mortgage products and reduce rates on a selection of existing offerings, effective from tomorrow, September 3.
The new products include the following residential purchase-only options: a 4.55% two-year fixed rate mortgage with an £899 product fee at 85% loan-to-value (LTV), a 4.05% five-year fixed rate mortgage with no product fee at 75% LTV, and a 4.17% five-year fixed rate mortgage with an £899 product fee at 85% LTV.
In addition, Barclays will lower rates on several existing residential products. The adjustments include a reduction in the two-year fixed rate mortgage at 85% LTV with no product fee from 4.95% to 4.75% and a two-year fixed rate mortgage at 90% LTV with no product fee from 5.58% to 5.38%. For five-year fixed rate products, the 75% LTV option with an £899 product fee will decrease from 4.03% to 3.95%, while the 85% LTV option with no product fee will drop from 4.55% to 4.45%.
Barclays is also lowering rates on its Green Home products, including a two-year fixed rate mortgage at 90% LTV with no product fee, which will decrease from 5.48% to 5.28%, and a five-year fixed rate mortgage at 90% LTV with a £999 product fee, which will drop from 4.75% to 4.55%.
The rate reductions extend to remortgage products as well, with notable decreases such as the five-year fixed rate mortgage at 60% LTV with a £999 product fee, which will drop from 4.06% to 3.93%, and the Great Escape five-year fixed rate mortgage at 75% LTV with no product fee, which will decrease from 4.43% to 4.17%.
Existing customers in the reward range will also see rate cuts, including a reduction in the five-year fixed rate mortgage at 60% LTV with a £999 product fee from 4.01% to 3.88%, and the 75% LTV option with no product fee from 4.38% to 4.17%.
Other lenders also make product changes
Several other lenders in the UK mortgage market have announced rate reductions over the weekend.
The Mortgage Lender (TML) has reduced rates across its residential and buy-to-let products. Residential rate cuts include reductions of up to 35 basis points (bps), with rates now starting at 5.74% on its core range, down from 5.99%. Large loan and interest only products have seen a similar decrease, with rates starting at 5.59%. TML’s BTL five-year fixed products also had cuts of 10bps, with rates for standard properties now beginning at 4.86%.
Principality Building Society has similarly adjusted its mortgage offerings, with rate reductions across various residential, buy-to-let, and holiday let products. The lender has decreased rates by up to 0.12% on select residential fixed rate products and by up to 0.48% on its joint borrower sole proprietor (JBSP) products. In addition, its standard variable rate (SVR) has dropped from 7.60% to 7.43%.
Clydesdale Bank has also introduced rate cuts on its core residential, professional, and buy-to-let products. The reductions include cuts of up to 0.42% on selected two- and five-year fixed rates, with rates now starting from 4.11%. Additionally, Clydesdale has launched new products, including a 65% LTV five-year fixed rate at 3.99% for remortgages.
Meanwhile, Bath Building Society has increased the maximum amount that can be borrowed on its 95% Residential mortgages for home purchases and remortgages from £500,000 to £650,000. The maximum lending limits on the mutual’s 80% LTV standard residential products remains at £1.5 million.
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