The Best Residential Mortgage Rates 20.08.21 | moneyfacts.co.uk

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Derin Clark

Derin Clark

Online Reporter
Published: 20/08/2021

After the last month, which saw many mortgage lenders cutting their mortgage rates, this week the charts have stabilised. Both the remortgage and moving home charts have continued to be highly competitive with sub-1% deals remaining in all these charts. Meanwhile, this week saw a new, lower two year fixed first-time buyer rate, which will be welcome news to those looking to take their first step onto the property ladder and could indicate that rates for those with a small deposit may become more competitive in the coming months.

Although we’ve highlighted the lowest rate available across our mortgage charts here, borrowers should be aware that the lowest rate may not be the best deal. Instead, mortgage borrowers should consider the total cost of the mortgage, including product fees and incentives, when looking at deals, as well as the flexibility they offer. Consumers unsure of which deal is right for them should consider speaking to a mortgage broker who will be able to provide advice on the best deal for their individual circumstances.

The best remortgage rates

 

Provider

Rate

Initial rate period

Product fee

 

TSB

0.84% fixed

Two years

£995

Speak to a broker

Nationwide Building Society

0.94% fixed

Three years

£999

Speak to a broker

HSBC

0.96% fixed

Five years

£1,499

Speak to a broker

 

TSB once again had the lowest rate in the two year fixed remortgage chart this week offering 0.84% (3.2% APRC) fixed until 30 November 2023 and then reverts to 3.59%. This deal is available to those with 40% equity in their home – a 60% loan-to-value (LTV) – and charges £995 in product fees. This deal has the incentive of a free valuation and no legal fees.

The lowest rate in the three year fixed remortgage chart this week came from Nationwide Building Society, which offers 0.94% (3.0% APRC) fixed for three years, which then reverts to 3.59%. This deal is available to those with 40% equity in their home (60% LTV). It charges £999 in product fees and comes with the incentive of a free valuation, as well as, £500 cashback on completion or no legal fees.

In the five year fixed remortgage chart, the lowest rate this week came from HSBC, which offers 0.96% (2.6% APRC) fixed until 30 November 2026, after which it reverts to 3.54%. This deal is available to those with 40% equity in their home (60% LTV) and it has a number of opening restrictions, including needing an HSBC Premier current account. It charges £1,499 in product fees and comes with the incentive of a free valuation and no legal fees.

Compare remortgages

The best mortgage rates for home-movers

 

Provider

Rate

Initial rate period

Product fee

 

Halifax

0.83% fixed

Two years

£1,495

Speak to a broker

Nationwide Building Society

0.94% fixed

Three years

£999

Speak to a broker

HSBC

0.96% fixed

Five years

£1,499

Speak to a broker

 

The lowest rate in the two year fixed moving home mortgage chart this week came from Halifax, which offers 0.83% (3.2% APRC) fixed until 30 November 2023 and then reverts to 3.59%. This deal is available to those with a 40% deposit (60% LTV) and a minimum mortgage loan of £250,000 must be taken. It charges £1,495 in product fees and comes with the incentive of £250 cashback for properties with an Energy Efficiency Band of A or B or a rating of 81 or higher.

In the three year fixed moving home chart this week, Nationwide Building Society had the lowest rate of 0.94% (3.0% APRC) fixed for three years, after which it reverts to 3.59%. This deal is available to those with a 40% deposit (60% LTV) and charges £999 in product fees. It comes with the incentive of a free valuation, as well as a green reward of up to £500 for eligible properties.

HSBC had the lowest rate in the five year fixed moving home chart this week offering 0.96% (2.6% APRC) fixed until 30 November 2026, which then reverts to 3.54%. This deal is available to those with a 40% deposit (60% LTV) and has a number of opening restrictions, including needing a HSBC Premier current account. It charges £1,499 in product fees and comes with the incentive of a free valuation.

Compare moving home mortgages

Compare the best mortgage rates for moving home on our charts.

The best first-time buyer mortgages

 

Provider

Rate

Initial rate period

Product fee

 

NatWest Int Sols

2.13% fixed

Two years

£995

Speak to a broker

Digital Mortgages by Atom Bank

2.64% fixed

Five years

£1,500

Speak to a broker

 

NatWest Int Sols, which is only available through mortgage brokers, had the lowest rate in the two year fixed first-time buyer chart this week. This deal offers 2.13% (3.4% APRC) fixed until 30 November 2023, after which it reverts to 3.59%. It is available to those with a 10% deposit (90% LTV) and charges £995 in product fees. It comes with the incentive of a free valuation for properties valued to a maximum of £2 million.

The lowest five year fixed first-time buyer rate this week came from Digital Mortgages by Atom Bank which offers 2.64% (3.3% APRC) fixed until 30 November 2026. This deal is available to those with a 10% deposit (90% LTV) and borrowers must take a minimum mortgage loan of £100,000. It charges £1,500 in product fees and comes with the incentive of a free valuation.

Compare first-time buyer mortgages

Disclaimer

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