The Best Residential Mortgage Rates 26.02.21 | moneyfacts.co.uk

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Derin Clark

Derin Clark

Online Reporter
Published: 26/02/2021

Although no official announcement has been made, there is the suggestion that the Government plans to extend the stamp duty holiday until the end of June, which would be welcome news to those in the process of buying a home and wanting to beat the current stamp duty holiday deadline. It is expected that any announcement about a stamp duty announcement will be made by the Chancellor in the spring budget on Wednesday.

In terms of rates, the mortgage charts have continued to offer highly competitive rates across the remortgage, moving home and first-time buyer charts this week. Those looking for a mortgage should note that below we have highlighted the lowest rates available in the charts, but the lowest rate on offer may not be the best deal available. Instead, borrowers should look at the deal overall, including features 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.

The best remortgage rates

Provider Rate Initial rate period Product fee
Lloyds Bank
Santander
1.09% fixed
1.09% fixed
Two years
Two years
£1,499
£1,499
Leeds Building Society 1.35% fixed Three years £999
Nationwide Building Society 1.24% fixed Five years £1,499

 

Homeowners looking for a remortgage deal will find that both Lloyds Bank and Santander offered the lowest rates 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) and requires a minimum loan of £250,000. It charges £1,499 in product fees and comes with the incentive of free valuation, no legal fees and £200 cashback. Santander offers 1.09% (3.0% APRC) fixed until 2 June 2023 and then reverts to 3.35% variable. This deal requires a 60% LTV and a minimum loan of £350,000. It charges £1,499 and has the incentive of free valuation up to a maximum of £1,190 for those located in England, Wales and Northern Ireland or £95 towards valuations for those in Scotland. It also offers £250 cashback on completion or no legal fees.

Leeds Building Society continued to offer its competitive rate of 1.35% (4.2% APRC) fixed until 31 May 2024 that then reverts to 4.04% variable for term. This deal is available at a 60% LTV and charges a product fee of £999. It comes with the incentive of free valuation up to a maximum of £999 and help towards costs.

Nationwide Building Society had the most competitive five year rate in our remortgage chart this week offering 1.24% (2.8% APRC) fixed for five years, after which it reverts to 3.59% variable. This deal is available at a 60% LTV and a minimum loan of £300,000 is needed. It charges £1,499 in product fees and comes with the incentive of free valuation, as well as £500 cashback on completion or no legal fees.

Compare remortgages

The best mortgage rates for home-movers

Provider Rate Initial rate period Product fee
Nationwide Building Society
Platform

1.14% fixed

1.14% fixed

Two years

Two years

£1,499

£1,499

Leeds Building Society 1.35% fixed Three years £999
Nationwide Building Society 1.24% fixed Five years £1,499

 

Both Nationwide Building Society and Platform had the lowest rates in the two year fixed moving home chart this week. Nationwide Building Society offers 1.14% (3.3% APRC) fixed for two years, which then reverts to 3.59% variable. This deal is available at a 60% and borrowers must take a minimum loan of £300,000. It charges £1,499 in product fees and comes with the incentive of free valuation. Platform offers 1.14% (3.8% APRC) fixed until 31 May 2023, after which it reverts to 4.34% variable. It is available at a 60% LTV and charges £1,499 in product fees. The deal comes with the incentive of free valuation.

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

Nationwide Building Society also had the lowest rate in our five year fixed moving home chart this week. It offers 1.24% (2.8% APRC) fixed for five years, which reverts to 3.59% variable. It is available at a 60% LTV and requires a minimum loan of £300,000. The deal charges £1,499 in product fees and comes with the incentive of free valuation.

Compare moving home mortgages

The best first-time buyer mortgage rates

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

 

Halifax has the lowest two year fixed rate in the first-time buyer chart this week on a deal without localised opening restrictions. It offers 3.09% (3.6% APRC) fixed until the 31 May 2023 and then reverts to 3.59% variable. This deal is available at a 90% LTV and borrowers must take a minimum loan of £25,000. There are no product fees charged on this deal.

Tipton & Coseley Building Society continued to offer the lowest rate in the five year fixed first-time buyer chart offering 3.09% (4.3% APRC) fixed until 30 April 2026, which then reverts to 4.94% variable. This deal is a guarantor mortgage and requires a 1% deposit from the borrower, up to a maximum of 10%. The remaining security of up to the value of 20% needs to be made up of either Tipton’s collateral charge or saving deposit option. It does not have any product fees.

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. Links to third parties on this page are paid for by the third party. You can find out more about the individual products by visiting their site. Moneyfacts.co.uk will receive a small payment if you use their services after you click through to their site. All information is subject to change without notice. Please check all terms before making any decisions. This information is intended solely to provide guidance and is not financial advice. Moneyfacts will not be liable for any loss arising from your use or reliance on this information. If you are in any doubt, Moneyfacts recommends you obtain independent financial advice.

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