June Mortgage Rate Roundup: Key Updates for Borrowers
Following the Bank of England’s Monetary Policy Committee decision to maintain the Bank Rate at 5.25%, Barclays and other major lenders have made positive adjustments to their mortgage offerings over the last week
Barclays - Residential Mortgages
Barclays have once again implemented notable reductions in their residential purchase mortgage rates:
- 2-Year Fixed Rate Mortgages: Reduced by up to 0.32%
- 5-Year Fixed Rate Mortgages: Reduced by up to 0.28%
Currently, offering the most competitive 5-Year Fixed Rate at a 60% LTV. This product is available for residential purchases up to £2 million with a product fee of £899 and an initial interest rate of 4.23%.
Representative Example of a Purchase:
For a property purchase of £1.5 million with a capital and interest mortgage of £900,000 payable over 25 years:
- Initial Rate: 4.23% for 5 years, then reverts to Barclay’s standard variable rate, currently 8.74%
- Payments: 62 payments of £4,870.43, followed by 238 payments of £6,942.09
- Total Amount Repaid: £1,954,425.08 (including the initial loan amount, interest, product fee, final repayment charge, and completion fee)
- Overall Cost for Comparison: 6.9% APRC representative
MPowered Mortgages – Residential Mortgages
MPowered has revised their rates for both purchase and remortgage products:
- 2-Year Fixed Rate Purchase Products: Rates reduced by up to 0.11%
- 2-Year Fixed Rate Remortgage Products: Rates reduced by up to 0.13%
- 5-Year Fixed Rate Purchase Products: Rates reduced by up to 0.09%
- 5-Year Fixed Rate Remortgage Products: Rates reduced by 0.05%
HSBC - Residential and Buy-to-Let Mortgages
HSBC have also announced a number of changes across their entire residential and Buy-to-Let product ranges. With selected fixed rate products cut across HSBC’s existing customer, purchase and remortgage range for both residential properties and Buy-to-Lets.
Fleet Mortgages - Buy-to-Let (BTL)
Fleet, a specialist lender in the buy-to-let market, has introduced new products and adjusted rates:
- New 5-Year Fixed Rate Products: Available at 75% Loan-to-Value (LTV) for both Limited Companies and individual landlords.
- Selected 5-Year Fixed Rate Products: Reduced by up to 0.35% at 75% LTV.
Precise Mortgages - Buy-to-Let (BTL)
Precise Mortgages has made several changes to their BTL product range:
- Rate Reductions Across the Entire BTL Range: Offering more competitive rates.
- Reintroduction of Tier 1 Products: For borrowers with limited adverse credit at 75% LTV.
- 80% LTV Products for Tiers 2 and 3: Catering to borrowers with varied credit histories.
- New Fee Options: Introducing products with 5% and 7% fee options alongside lower interest rates to assist with affordability.
The Importance of Expert Guidance
Given the ever-changing market conditions, seeking the assistance of a mortgage consultant is more important than ever. With their expertise, you can navigate these fluctuations effectively and find the best possible mortgage options tailored to your needs.
Our experienced mortgage consultants are ready to assist you with personalised guidance every step of the way. For an initial consultation, speak with our experts or call us at 01628 564631. We're here to help you navigate your mortgage journey with informed advice and care.
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The information contained within was correct at the time of publication but is subject to change.
Most Buy-to-Let Mortgages are not regulated by the Financial Conduct Authority.
