The best residential mortgage rates 19.02.21

This week we reported that the first-time buyer chart has seen a strong start to 2021, with 117 products entering the market in the first six weeks of this year. In fact, mortgage deals across all charts remain strong this week, with highly competitive rates available in the remortgage and moving home charts, as well as more competition in the first-time buyer chart.

Those looking for a mortgage should note that below we have highlighted the lowest rates available in the charts this week, but the lowest rate on offer may not be the best deal for them. Instead, borrowers should look at other features of the deal, such as incentives and product fees, to determine the best choice. Those unsure of which deal is the best option for them should consider speaking to a mortgage broker, who will be able to provide help and advice in choosing the most suitable mortgage.

Both Lloyds Bank and Santander continued to have the lowest two year fixed remortgage rate this week. Lloyds Bank offers 1.09% (3.2% APRC) fixed until 31 May 2023, which then reverts to 3.59% variable. This deal is available at a 60% loan-to-value (LTV). Borrowers must take a minimum loan of £250,000. It charges £1,499 in product fees and comes with the incentive of free valuation, free legal fees and £200 cashback for Club Lloyds account holders. Santander offers 1.09% (3.0% APRC) fixed until 2 June 2023 and then reverts to 3.35% variable. The deal is available at a 60% LTV and a minimum loan of £350,000 is needed. It charges £1,499 in product fees. This deal comes with the incentives of free valuation to a maximum of £1,190 in England, Wales and Northern Ireland or £95 towards valuations in Scotland, as well as £250 cashback on completion or free legal fees.

This week, Leeds Building Society continued to have the lowest three year remortgage rate in our charts offering 1.35% (4.2% APRC) fixed until 31 May 2024, after which it reverts to 4.04% variable. This deal is available at a 60% LTV and charges £999 in product fees. It comes with the incentive of free valuation (up to a maximum of £999) and help towards costs.

The lowest rate in the five year fixed remortgage chart came from Halifax this week. Halifax offers 1.26% (2.7% APRC) fixed until 31 May 2026, which then reverts to 3.59% variable. This deal is available at a 60% LTV, with a minimum loan of £250,000. It charges £1,495 in product fees and comes with the incentive of free valuation and free legal fees.

The lowest rate in the two year fixed moving home chart this week came from Platform, which offers 1.14% (3.8% APRC) fixed until 31 May 2023 and then reverts to 4.34% variable. This deal is available at a 60% LTV. It charges £1,499 in product fees and comes with the incentives of free valuation and £250 cashback.

Leeds Building Society had the lowest three year fixed moving home rate this week, offering 1.35% (4.1% APRC) fixed until 31 May 2024, which then reverts to 4.04% variable. It is available at a 60% LTV and charges £999 in product fees. The deal comes with the incentive of free valuation up to a maximum of £999.

The lowest five year fixed moving home rate this week came from TSB, which offers 1.24% (2.7% APRC) fixed until 31 May 2026, after which it reverts to 3.59% available. The deal is available at a 60% LTV. It charges £995 in product fees and comes with the incentive of free valuation.

First-time buyers happy to choose a discounted variable rate deal will find that Cambridge Building Society had the lowest rate on a deal that did not have localised opening restrictions. Cambridge Building Society offers 2.89% (4.7% APRC) discounted variable for two years, after which it reverts to 4.89%. This deal is available at a 90% LTV and charges £199 in product fees. It comes with the incentive of free valuation for properties valued up to a maximum of £1 million.

Platform continued to offer the lowest two year fixed first-time buyer rate on a deal without localised opening restrictions. It offers 3.14% (4.3% APRC) fixed until 31 May 2023 and then reverts to 4.34% variable. It is available at a 90% LTV and charges £1,499 in product fees. This deal comes with the incentives of free valuation and £250 cashback.

Tipton & Coseley Building Society once again had the lowest five year fixed first-time buyer rate on a guarantor mortgage deal. It offers 3.09% (4.3% APRC) fixed until 30 April 2026 and then reverts to 4.94% variable. As a guarantor mortgage, this deal requires a 1% deposit from the borrower, up to a maximum of 10%, with the remaining security of up to the value of 20% being made up of either Tipton’s collateral charge or savings deposit options. There are no product fees charged on this deal.