The news for mortgage rates this week all seems to run with a similar theme: lenders are continuing to reduce buy to let fixed rates across the market. Santander marks one of the latest lenders to do so, now offering reduced rates on a selection of its 2 year fixed rates by up to 0.3%.
With many industry experts suggesting a scramble for business since stamp duty changes came into force and threatened to slump demand, a rush of competitively cut rates across the sector has been particularly evident.
Santander’s range of 2 year fixed rates for buy to let now includes a 1.99% rate up to 60% loan to value (LTV) with a £1,995 booking fee, or 1.89% with a 1.5% booking fee, both for purchase and remortgage. A rate of 2.49% is also available up to 75% LTV with a £1,995 booking fee or 2.39% with a 1.5% booking fee (also for both purchase and remortgage).
Elsewhere in the market, Mortgage Trust has updated its entire buy to let range, now offering 24 new products and refreshed 5 of its existing rates. These include a 2 year fixed rate of 3.05% and a 5 year fix at 3.5% up to 75% LTV. 2 year tracker and term trackers are also available for purchase and remortgage. All products within this range include free valuation and a £150 application fee.
These are not the only competitive fixed rates being introduced by lenders, however, as Newcastle Building Society has also now introduced a 3 year residential fixed rate product at 1.99% up to 80% LTV. Running until July 2019, the product is available with a £199 reservation fee and the opportunity to add the £499 completion fee to the loan.
As 3 year fixed rates prove to have increased in popularity recently, this allow customers purchasing or remortgaging a home, to benefit from both competitive lending rates and the security of having mortgage payments fixed for slightly longer.