Lender cuts rates by up to 32bps on 27 mortgage products
Leeds Building Society has announced a reduction in interest rates across its range of mortgage products, aimed at supporting aspiring homeowners and those looking to remortgage.
The lender has reduced rates by up to 32 basis points (bps) on 27 mortgage products, marking a continuation of rate cuts that started at the beginning of the year.
The reprice applies to standard residential mortgages, the lender’s Reach mortgage range, and shared ownership products, which have garnered significant interest from customers, it said. In 2023, Leeds reported a 24% increase in shared ownership mortgage applications compared to the previous year.
Other key changes include a reduction in the residential five-year fixed rate mortgage, now offered at 4.93%, down from 5.08%. The product, available at up to 95% loan-to-value (LTV), has no completion fees and features free standard valuation, tapered early repayment charges, and an allowance for 10% penalty-free capital repayment annually.
The shared ownership two-year fixed rate mortgage has been adjusted to a 5.14% rate from 5.19%, also featuring no completion fees, up to 90% borrower share, free standard valuation, tapered early repayment charges, and a 10% penalty-free capital repayment allowance per year.
“Our purpose is to put homeownership within reach of more people, and the changes we’re making on our mortgage rates will enable more people to take their first step on to, or next step up the property ladder,” said Jonathan Thompson, senior products and pricing manager at Leeds Building Society.
“Throughout January, we saw a 6% increase in applications by first-time buyers versus the same month last year, which suggests that consumer confidence is increasing.
“We are particularly pleased to be able to offer our members even better value on our shared ownership mortgage range, a tenure which we see as a crucial part of the housing mix and a vital route for many aspirational homeowners to get on to the property ladder.”
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