Rates of three-year fixes now start from 4.49%
Fintech lender MPowered Mortgages has reduced rates on its fixed rate products even as many high street banks and lenders are raising mortgage rates.
MPowered has cut the interest rates of its three-year fixed loans at 60% loan-to-value (LTV) to 4.59% from 4.67% with a £999 arrangement fee. For customers opting out of the arrangement fee, the new rate is 4.79%, down from 4.87%, at 60% LTV, and 4.89%, down from 4.99%, at 75% LTV.
For remortgaging clients, the three-year fixed rates have been adjusted to start at 4.49%, previously 4.59%, at 60% LTV with the same arrangement fee. For those avoiding the fee, rates are now 4.69%, down from 4.89% at 60% LTV, and 6.09%, down from 6.19%, at 85% LTV.
It's time to get the rate reductions rolling!
— MPowered Mortgages (@mpoweredsocial) May 8, 2024
We've launched lower fixed rates across our range, now starting from 4.49%.
Register and unlock these new products: https://t.co/h2YH4u1nit#mpoweredmortgages | Intermediaries only pic.twitter.com/mKj4UzSNxz
The lender has also revised its two-year fixed rates for purchasers to 4.84% from 4.95% at 60% LTV with a £999 fee. Without the fee, rates are set at 5.07%, reduced from 5.17%, at 60% LTV and 5.19%, down from 5.29%, at 75% LTV.
Remortgagers interested in the two-year fixed no-fee options will find rates starting at 5.15%, decreased from 5.24%, on a 60% LTV and 5.25%, down from 5.39%, on a 75% LTV.
“Mortgage rates have been increasing in recent weeks, but we think we have hopefully now seen the end of this,” said Matt Surridge (pictured), sales director of MPowered Mortgages. “Rising rates have primarily been in response to predictions around the timing and extent of Bank of England rate cuts and given that inflation has proven to be rather stubborn, the date of the first expected cut has been pushed out to the summer months.
“While we can expect some level of volatility in mortgage rates in the coming weeks, there are positive signs that rates will start coming down in the not too distant future. We are pleased to be one of the first lenders that is able to reduce rates which goes against the current trend which is seeing multiple high street banks and lenders increase rates.”
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