Derin Clark

Derin Clark

Online Reporter
Published: 07/09/2019

This week has seen good news for mortgage borrowers, with rates being cut across the chart. This is evident in both the moving home and remortgage charts, where new rates have taken many of the top spots for a number of different terms. As well as this, Santander launched a new first-time buyer mortgage on Friday, which, although it doesn’t offer borrowers a chart-topping rate, it does include the incentive of £1,000 cashback.

The best mortgage rates for home-movers

Provider

Rate

Initial rate period

Product fee

HSBC

1.24% fixed

Two years

£999

HSBC

1.44% fixed

Three years

£999

HSBC

1.59% fixed

Five years

£999

This week, HSBC reduced rates on a number of its mortgages resulting in it topping the two, three and five year fixed moving home charts. Its two year rate of 1.24% (3.7 APRC), which is fixed until 31 January 2022 and then reverts to 4.19%, tops the moving home chart overall. Its three year rate of 1.44% (3.5% APRC), which is fixed until 31 January 2023, reverting to 4.19% thereafter, topped the three year fixed rate chart, while its rate of 1.59% (3.2% APRC) fixed until the 31 January 2025 and then reverting to 4.19%, topped the five year fixed chart. All these deals are available for those looking for a 60% loan-to-value (LTV) and who require a minimum loan of £10,000 to a maximum of £5 million. In addition to this, a minimum earned income of £15,000 is required for these mortgage deals. They charge £999 in product fees and come with the incentive of free valuation. Overpayments are allowed on all the deals.

The best first-time buyer mortgage rates

Provider

Rate

Initial rate period

Product fee

Newcastle Building Society

2.59% fixed

Two years

£498

Marsden Building Society

2.89% fixed

Three years

£0

Barclays Mortgage

2.75% fixed

Five years

£0

As already mentioned, while not a chart-topping rate, Santander launched a new first-time buyer mortgage deal this week that offers a competitive rate of 3.19% fixed until 2 December 2022. The deal doesn’t charge any product fees and includes the incentives of free valuation and £1,000 cashback. The overall top rate being offered in the first-time buyer chart once again came from Newcastle Building Society this week, offering 2.59% (5.2% APRC) fixed until 31 October 2021 and then reverts to 4.49%. This deal is available to those seeking a 95% LTV and it requires a minimum loan of £30,000, while the maximum is dependent on LTV. The deal charges £498 in product fees and, while it doesn’t have any incentives, it does allow the flexibility of overpayments.

Once again topping the three-year chart this week is Marsden Building Society, offering a rate of 2.89% (5.4% APRC) fixed until 30 September 2022, reverting to 6.20% thereafter. This deal is available for those looking for a 95% LTV and a loan of between £30,000 and £350,000. In addition to this, a minimum earned income of £20,000 is required for this deal. It doesn’t charge any product fees and includes the incentive of free valuation for properties valued to a maximum of £500,000. Overpayments are allowed.

Barclays Mortgage topped the five year chart this week with its rate of 2.75% (3.7% APRC), which is fixed until 31 October 2024 and then reverts to 4.24%. The mortgage is available for those seeking a 95% LTV and who require a minimum loan of £5,000 to a maximum of £500,000. It doesn’t charge any product fees and includes the incentive of free valuation for properties valued to a maximum of £2m. Overpayments are also allowed. Borrowers should be aware that this mortgage deal requires a deposit from a guarantor, such as a parent, to use as security.

The best remortgage rates

Provider

Rate

Initial rate period

Product fee

HSBC

1.24% fixed

Two years

£999

HSBC

1.44% fixed

Three years

£999

HSBC

1.59% fixed

Five years

£999

All of last week’s top remortgage rates were knocked off the top spot this week, with HSBC reducing its remortgage rates, resulting in it offering the lowest rates in the two, three and five year fixed rate remortgage charts by the end of the week. Its two year fixed rate of 1.24% (3.7% APRC), which is fixed until 31 January 2022 and then reverts to 4.19%, topped the chart overall. While its three year rate of 1.44% (3.5% APRC), fixed until 31 January 2023, which reverts to 4.19% thereafter, topped the three year chart and its five year rate of 1.59% (3.2% APRC), fixed until 31 January 2025, reverting to 4.19% for term, topped the five year chart. All these rates are available to those looking for a 60% LTV and who require a minimum loan of £10,000 to a maximum of £5m. As well as this, an earned income of a minimum of £15,000 is needed to apply for these deals. They charge £999 in product fees and all include the incentives of free valuation and no legal fees. All the deals allow overpayments.

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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