Derin Clark

Derin Clark

Online Reporter
Published: 01/11/2019

Mortgage competition remained strong this week, with new rates entering the charts. The five year fixed rate charts have particularly seen an increase in competition, with new lower rates now available in both the moving home and remortgage charts.  

Saying this, when looking at the mortgage charts, borrowers should keep in mind that the lowest rate on offer might not be the best deal for their individual circumstances. Instead, they should consider a range of extra factors such as product fees, incentives and payment flexibility when choosing the right mortgage deal for their needs.

The best mortgage rates for home-movers

Provider Rate Initial rate period Product fee
Santander 1.21% fixed Two years £999
HSBC 1.44% fixed Three years £999
Virgin Money 1.46% fixed Five years £1,495

Santander continued to offer its highly competitive deal in the moving home chart this week. The bank offers a rate of 1.21% (3.6% APRC) fixed until 2 February 2022, reverting to 4.00% thereafter. This mortgage is available to those with a minimum earned income of £10,000 and who are looking for a 60% loan-to-value (LTV). It charges £999 in product fees and includes the incentives of free valuation (up to a maximum of £1,190 for properties valued to a maximum of £2.5m) and £250 cashback.

HSBC continued to offer the lowest rate in the three year fixed chart offering a rate of 1.44% (3.6% APRC) fixed until 31 January 2023, after which it reverts to 4.19%. This deal is available to those with a minimum earned income of £15,000 and who are looking for a 60% LTV. It charges £999 in product fees and includes the incentive of free valuation.

Virgin Money was new to the top of the five year chart this week offering a rate of 1.46% (3.5% APRC) fixed until 1 March 2025 and then reverts to 4.99%. This deal is available to those looking for a 65% LTV. It charges £1,495 in product fees and includes the incentive of £300 cashback.

The best first-time buyer mortgage rates

Provider Rate Initial rate period Product fee
Bath Building Society 2.49% discounted variable Three years £872
Newcastle Building Society 2.59% fixed Two years £498
Bath Building Society 2.59% fixed Three years £872
Barclays Mortgage 2.75% fixed Five years £0

Bath Building Society continued to offer the lowest rate overall in the first-time buyer chart, offering a discounted variable rate of 2.49% (4.8% APRC) for three years, after which it reverts to 5.44%. This mortgage is only available to those with an earned minimum income of £35,000 and who are looking for a 95% LTV. It charges £872 in product fees. Bath Building Society also offered the lowest rate in the three year fixed chart this week with its 2.59% (4.9% APRC) deal that is fixed for three years, reverting to 5.44% thereafter. This mortgage has the same terms and conditions as the discounted variable deal.

Newcastle Building Society continued to offer the lowest two year fixed rate at 2.59% (5.1% APRC) fixed until 28 February 2022. This deal is available to those looking for a 95% LTV and it charges £498 in product fees.

Barclays Mortgage offered the lowest rate for those looking for a five year fixed deal this week. It offers a rate of 2.75% (3.7% APRC), which is fixed until 31 January 2025 and then reverts to 4.24%. This deal is available to those looking for a 95% LTV. It does not charge any product fees and includes the incentives of free valuation for properties valued to a maximum of £2m.

The best remortgage rates

Provider Rate Initial rate period Product fee
Santander 1.21% fixed Two years £999
HSBC 1.44% fixed Three years £999
Virgin Money 1.46% fixed Five years £1,495

This week Santander continued to offer the lowest rate in the remortgage chart at 1.21% (3.6%) fixed until 2 February 2022 and then reverts to 4.00%. This deal is available to those looking for a 60% LTV and charges £999 in product fees. It includes the incentives of free valuation (up to a maximum of £1,190) for those in England, Wales and Northern Ireland or £95 towards valuations for those in Scotland, as well as £250 cashback on completion or no legal fees.

HSBC offered the lowest rate in the three year fixed remortgage chart offering 1.44% (3.6% APRC) fixed until 31 January 2023, reverting to 4.19% thereafter. This mortgage is only available to those with a minimum earned income of £15,000 and who are looking for a 60% LTV. It charges £999 in product fees and includes the incentives of free valuations and no legal fees.

Virgin Money’s deal was new to the top of the five year fixed rate remortgage chart this week, offering a rate of 1.46% (3.6% APRC) fixed until 1 March 2025, which then reverts to 4.99%. This mortgage is available to those looking for a 65% LTV and charges £1,495 in product fees. It includes the incentives of free valuation and no legal fees.

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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