Commenting on the reduction Phil Cliff of Abbey Mortgages, said: "We're determined to offer our customers the best deals and many of these rate reductions will make us a 'best buy'. We're looking very competitive across the range with two and three year fixes available from a market leading 5.74 per cent.
"These great rates may be part of the reason why fixed-rate mortgages are increasing in popularity with borrowers. Our research shows they are three times as likely to choose a three year fixed-rate deal compared with six months ago. Overall, approximately 52 per cent would now opt for a fixed rate product if they re-mortgaged tomorrow compared with 47 per cent last month and 35 per cent six months ago."
Among the rates changing are the following products from Abbey's core range:
-2 year fixed at 75 per cent LTV down by 0.20 per cent to 5.79 per cent
-3 year fixed at 75 per cent LTV down by 0.15 per cent to 5.79 per cent
-5 year fixed at 75 per cent LTV down by 0.30 per cent to 5.89 per cent
Abbey has also reduced the rates on the recently introduced large loan products, aimed at those customers wishing to borrow between £550,000 and £5 million.
-3 year fixed mortgage (60 per cent LTV) down by 0.35 per cent to 6.45 per cent
-3 year tracker mortgage (60 per cent LTV) down by 0.10 per cent to 6.24 per cent
