The Best Residential Mortgage Rates 22.01.21 | moneyfacts.co.uk

Derin Clark

Derin Clark

Online Reporter
Published: 22/01/2021

The mortgage charts have remained highly competitive this week, with low rates available in both the remortgage and moving home charts. First-time buyers will be pleased that more providers are starting to reintroduce their high loan-to-value (LTV) deals, meaning that there are more options for those with a 10% or less deposit.

Below are the lowest rates available in the remortgage, moving home and first-time buyer charts. While the mortgage rate is important when considering which deal to choose, borrowers should also consider a range of factors such as product fees, incentives and flexibility when comparing deals. Borrowers 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 best option.

The best remortgage rates

Provider Rate Initial rate period Product fee
Lloyds Bank 1.09% fixed Two years £1,499
Leeds Building Society 1.35% fixed Three years £999
Halifax 1.27% fixed Five years £1,495

 

This week Lloyds Bank had the lowest rate in the two year fixed remortgage chart offering 1.09% (3.2% APRC) fixed until 31 May 2023 and then reverts to 3.59%. This deal is available to those looking for a 60% loan-to-value (LTV) and at a minimum loan of £250,000. It charges £1,499 in product fees and comes with the incentive of free valuations and no legal fees.

The lowest rate in the three year fixed remortgage chart this week comes from Leeds Building Society, which offers 1.35% (4.2% APRC) fixed until 29 February 2024, after which it reverts to 4.04%. This deal is available at a 60% LTV and charges £999 in product fees. It comes with the incentive of free valuations to a maximum of £999 and help towards costs.

Homeowners looking to lock into a five year fixed remortgage deal will find Halifax had the lowest rate this week, offering 1.27% (2.7% APRC) fixed until 31 May 2026, which then reverts to 3.59%. This deal is available at a 60% LTV but a minimum loan of £250,000 is required. It charges £1,495 in product fees and comes with the incentive of free valuations and no legal fees.

Compare remortgages

The best mortgage rates for home-movers

Provider Rate Initial rate period Product fee
Skipton Building Society 1.14% fixed Two years £995
Leeds Building Society 1.35% fixed Three years £999
NatWest Int Sols 1.33% fixed Five years £995

 

Those looking for a moving home mortgage on a two year fixed deal will find that Skipton Building Society continued to offer the lowest rate this week. This deal offers 1.14% (3.8% APRC) fixed until 30 April 2023, after which it reverts to 3.64%. It is available at a 60% LTV and charges £995 in product fees. The deal comes with the incentive of free valuations.

Continuing to offer the lowest three year fixed moving home mortgage rate this week was Leeds Building Society with a deal offering 1.35% (4.2% APRC) fixed until 29 February 2024 and then reverts to 4.04%. This deal is available at a 60% LTV and charges £999 in product fees. It comes with the incentive of free valuations to a maximum of £999.

The lowest rate in the five year fixed moving home chart this week came from NatWest Int Sols, which offers 1.33% (2.7% APRC) fixed until 30 June 2026, after which it reverts to 3.59%. Borrowers should be aware that this deal is only available through intermediaries and is a green mortgage in which properties must have an EPC rating of A or B. It is available at a 60% LTV and charges £995 in product fees. This deal comes with the incentive of free valuations for properties valued to a maximum of £2 million and £250 cashback.

Compare moving home mortgages

The best first-time buyer mortgage rates

Provider Rate Initial rate period Product fee
Nationwide Building Society 3.24% fixed Two years £999
Tipton & Coseley Building Society 3.09% fixed Five years £0

 

First-time buyers with a 10% or less deposit will find that the lowest rate in the two year fixed first-time buyer chart once again was being offered by Nationwide Building Society. This deal offers 3.24% (3.6% APRC) fixed for two years and then reverts to 3.59%. This deal is available to those looking for a 90% LTV and charges £999 in product fees. It comes with the incentive of free valuations and £500 cashback.

This week Tipton & Coseley Building Society continued to have the lowest rate in the five year fixed first-time buyer chart for those with a 10% or less deposit. This deal offers 3.09% (4.3% APRC) fixed until 31 January 2026, which then reverts to 4.94%. Borrowers should be aware that this is a family assist mortgage. As such, it is available at a 99% LTV, although the borrower can opt to put a deposit of a maximum of 10%, a remaining deposit of up to 20% is required via Tipton’s collateral charge option or savings deposit option. There are no products fees charged on this deal.

Compare first-time buyer mortgages

Disclaimer

Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

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