Lender pulls products due to current market conditions
Saffron Building Society has announced that it will be withdrawing all fixed rate mortgage products across a number of its categories due to volatile market conditions at 5pm today, June 9.
The products that will be withdrawn are the following:
- 5.07% first-time buyer five-year fixed rate at 90% loan-to-value (LTV)
- 5.87 % first-time buyer fixed rate to December 31, 2025 at 95% LTV
- 5.07% first-time buyer five-year fixed rate at 95% LTV
- 5.17% joint borrower sole proprietor five-year fixed rate at 95% LTV
- 4.57 % owner occupied fixed rate to October 31, 2028 at 80% LTV
- 5.27 % owner occupied fixed rate to October 31, 2028 at 90% LTV
- 5.87% buy-to-let five-year fixed rate at 75% LTV
- 6.07% limited company buy-to-let five-year fixed rate at 75% LTV
- 4.77% contractor fixed rate to December 31, 2028 at 80% LTV
- 4.87% contractor fixed rate to December 31, 2028 at 90% LTV
In addition, Saffron will no longer be launching its 5.47% first-time buyer five-year fix and 5.57% first-time buyer joint borrower sole proprietor five-year fix.
The mutual said it informed brokers of the product withdrawal over email on Thursday afternoon to give intermediary partners 24 hours’ notice.
“We know that removing products from the market can cause significant disruption for brokers and mortgage applicants alike,” Tony Hall (pictured), head of business development at Saffron for Intermediaries, said.
“Under normal trading standards, we pride ourselves on offering brokers 48 hours’ notice of such changes, however, in these unforeseen circumstances, we are still committing to giving 24 hours’ notice. This is in an effort to pull out all the stops to offer the best possible service and mitigate the levels of disruption to brokers so that they have the opportunity to submit a case and secure the product.
“This commitment is likely to impact the business service levels so we ask that you bear with us while we work through the high volumes of activity that we will experience in the coming days.”
The lender advised brokers to submit a full mortgage application with all fees paid by 5pm today to secure the products that are scheduled to be withdrawn. Decisions in principle (DIPs) will need to be in by noon to give Saffron’s underwriters time to review any referrals and to give brokers the best opportunity of reaching the full mortgage application stage ahead of the 5pm deadline.
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