Masthaven Bank has reduced rates on a number of products within its residential first charge range.
Notable reductions include the lender’s 2-year fix, cut from 3.24% to 3.04%, its 5-year fix, from 3.59% to 3.34%, 2-year fix from 3.74% to 3.54%, and its 5-year fix from 3.89% to 3.64%. The latter two deals are fee free.
In addition to changes to its rates, Masthaven has also updated its lending criteria and extended its automated valuation model (AVM) policy.
Additional earnings are now included in affordability, bank statements are no longer required for all self-employed and buy-to-let (BTL) cases, projections are now considered for self-employed ,and AVMs are now considered for purchase and BTL cases, and up to £350,000 on both first and second charge.
Rob Barnard, director of intermediaries at Masthaven, said: “Activity in the housing market has soared since the start of the pandemic, thanks in part to initiatives like the stamp duty holiday.
“The result has been a booming market with high transaction levels and house price growth.
“It hasn’t all been plain sailing, however, and the combination of high house prices, the end of the tax holiday in July and the looming deadline for the end of the furlough scheme is likely going to bring affordability issues to the fore for some borrowers.
“These rate reductions as well as a return to many of our pre-COVID underwriting approaches allows us to continue supporting borrowers, brokers and the wider market.”