It will slash interest rates by up to 0.40%
Barclays has announced rate reductions across its range of residential and buy-to-let mortgage products, effective from tomorrow, September 10
The changes will see decreases of up to 40 basis points on selected products, including both purchase and remortgage options.
For buy-to-let purchase products, the high street lender is reducing its two-year fixed rate at 75% loan-to-value (LTV) with a £1,295 product fee from 5.68% to 5.28%, and its five-year fixed rate from 4.72% to 4.32%. The bank’s Green Home buy-to-let products will also see cuts, with the two-year fixed rate falling to 5.18% and the five-year fixed rate dropping to 4.22%, both at 75% LTV with a £1,295 product fee.
Remortgage rates are also being lowered. The two-year fixed rate at 60% LTV with no product fee will decrease from 5.80% to 5.40%, while the five-year fixed rate at the same LTV will fall from 4.83% to 4.52%. The two-year fixed rate at 75% LTV with a £1,795 product fee will drop from 5.76% to 5.36%, and the five-year fixed rate will go from 4.60% to 4.26%.
In the residential range, Barclays – one of the UK’s largest mortgage lenders – will reduce its two-year fixed rate at 60% LTV with a £1,999 product fee from 5.06% to 4.40%, and the five-year fixed rate will move from 4.47% to 3.93%. Similar reductions are being made to higher LTV and larger loan products, with adjustments across both purchase and remortgage options.
The lender’s existing customer reward range is also seeing rate cuts. The five-year fixed rate for buy-to-let customers with a £1,795 product fee and 65% LTV will fall from 4.34% to 4.20%. Additionally, residential rate switch options will see decreases, with the two-year fixed rate for loans over 70% LTV dropping to 4.55%, down from 4.86%.
Last week, the bank reintroduced three mortgage products and reduced rates on a selection of existing offerings. Over the past month, Barclays has intensified a mortgage rate war with other major lenders in response to the Bank of England’s first rate cut since 2020, offering some of the lowest fixed rates in recent years.
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