NatWest slashes rates
With product fees of £1,495 there will be a 2-year fixed rate at 1.49%, 3-year fixed rate at 1.99%, 5-year fixed rate at 2.49% and 2 year tracker at 1.39%. The maximum loan size for these deals will be £750,000.
It is also making wholesale rate reductions to the vast majority of its intermediary mortgages, including its high LTV deals for the government schemes.
2-year fixed rate deals (rate cuts of between 8-54bps)
£995 product fee: There will be two further sub-2% 2 year fixed rate deals available. The 70% LTV deal is having its rate reduced by 25bps from 2.10% to 1.85% and the 75% LTV deal is seeing a 54bps cut from 2.47% to 1.93%. Its 2 year fixed rate 90% LTV deal is receiving a 32bps reduction from 3.97% to 3.65%.
£0 product fee: The 75% LTV mortgage is having a rate cut of 46bps from 3.39% to 2.93% and the 90% LTV deal is dropping by 54bps from 4.59% to 4.05%.
3-year fixed rate deals (rate cuts of between 3-61bps)
£995 product fee: The 80% LTV deal is having its rate reduced by 18bps from 2.93% to 2.75% and the 90% deal is seeing a 19bps cut from 4.13% to 3.94%.
£0 product fee: The 75% LTV product is having a rate cut of 61bps from 3.59% to 2.98%, the 85% LTV deal is seeing a cut of 47bps from 4.05% to 3.58% and the 90% LTV mortgage is dropping by 70bps from 4.89% to 4.19%.
5-year fixed rate deals (rate cuts of between 9-94bps)
£995 product fee deals: The 70% LTV deal is having its rate reduced by 37bps from 3.25% to 2.88%, the 75% LTV deal is seeing a 39bps cut from 3.34% to 2.95% and the 85% LTV deal is receiving a 30bps reduction from 3.99% to 3.69%.
£0 product fee deals: The 70% LTV deal is having a rate cut of 25bps from 3.54% to 3.29%, the 85% LTV deal is seeing a cut of 50bps from 4.55% to 4.05% and the 90% LTV deal is dropping by 94bps from 5.33% to 4.39%.
2-year trackers (rate cuts of between 3-16bps)
£995 product fee: The 70% LTV deal will have a rate reduction of 15bps from 1.90% to 1.75% and the 75% LTV deal will see a drop of 16bps from 2.99% to 2.83%,
First-time buyer exclusives (rate cuts of between 26-88bps)
£0 product fee: The 2 year fixed rate 80% LTV deal is being cut by 46bps from 3.39% to 2.93% and the 5 year fixed rate 90% LTV deal is being cut by 88bps from 5.23% to 4.35%.
Government scheme deals (rate cuts of between 10-46bps)
£0 product fee: The 95% LTV deals for the government’s Help to Buy and New Buy schemes are receiving rate reductions too. The 2-year fixed rate will come down 20bps from 5.15% to 4.95% and the 5-year fixed rate drops 14bps from 5.39% to 5.25%. And, the rates for the Help to Buy shared equity scheme products will also be reduced – the 2-year fixed rate 75% LTV deal by 46bps from 3.39% to 2.93% and the 5-year fixed rate 75% LTV deal by 10bps from 3.79% to 3.69%.
Mark Bullard, head of sales, NatWest Intermediary Solutions, said: “We have responded to market demands for a greater choice of higher fee/lower rate mortgages with our new 2, 3 and 5-year deals.
“And the huge number of rate reductions we are introducing will ensure that we retain a competitive market offering for intermediaries.
“These rate cuts have been made right across our LTV bandings from 60-95% LTV and also across our product fee and no product fee ranges.
“It’s been a great start to the year so far. Last week we appointed three new BDMs to bolster our intermediary-facing team and have more enhancements to our proposition in the pipeline.
“We are expecting 2015 to be even busier than last year and this rate change announcement is sure to grab the attention of many intermediaries.”