Newcastle Intermediaries has reduced rates on its 95% LTV range of up to 0.26% on selected products.
A 5-year fix is available at 3.49% at an LTV of 95% and also comes with a free valuation, 10% overpayment facility per annum, £500 cashback or free legal fees for remortgaging.
Stuart Miller, customer director, said: “It has been reported that* 95% LTV mortgage rates have reduced by around 0.5% in the last 6 months, the most significant fall across all loan to value levels. This is great news for first time buyers who’re hoping to get on the property ladder this year.
“This is why at Newcastle Intermediaries we’re pleased to announce the reduction in rates on selected 95% LTV mortgages to help more first time buyers take their first step onto the ladder, or help next time buyers looking to move and remortgage borrowers to raise additional funds for home improvements”
“As well as reducing our rates, we’re also increasing our max loan size on all of our 95% LTV mortgages from £300,000 to £400,000.”
Paul Hampton of Approved Mortgage Solutions added: “Because first-time buyers have so many other demands on their incomes, saving for a deposit takes such a long time, which is why high LTV products are more in demand than ever.
“And for those clients who have smaller deposits, they usually benefit from free valuations and cashback to help with legal fees.”
Additionally, the lender is introducing a market leading Base Rate Tracker to their portfolio.
A 2-year base rate tracker is available up to a max LTV of 95% and at a current rate of 1.79% above Bank Base Rate, currently 2.54%. It comes with no product fees or early repayment charges providing choice and flexibility to customers.
All products are available for purchase and remortgage including the option to raise additional funds up to 95% LTV for home improvements.