Barclays has made cuts to its residential mortgage rates across multiple ranges.
Barclays has cut its residential purchase and remortgage five-year fixed rates by up to 0.14%.
Highlights from the mortgage rate cuts for purchase borrowers include the bank’s fee-free deal at 60% loan to value (LTV), which has fallen from 4.34% to 4.2%, and the £899 arrangement fee alternative, which has been reduced from 4.18% to 4.11%.
For remortgage borrowers with 25% equity paying a £999 fee, the rate has been cut from 4.3% to 4.25%. The Great Escape edition, also at 75% LTV, has been reduced from 4.42% to 4.33%.
Mark Arnold, head of mortgage and savings at Barclays, said: “Christmas can often be an expensive time of year, and the changes we are making are designed to help customers save money, whether they are homebuyers or homemovers. Introducing these new rates, with many offering a £0 product switching fee, will benefit our customers and may help to ease the financial burden involved in buying and moving house.”
Mind over mortgages: why we need to look after intermediaries’ mental health
Sponsored by Halifax Intermediaries
TSB’s rates fall
TSB, meanwhile, has reduced its three-year fixed first-time buyer and homemover deals by up to 0.22%. Two-year fixed rate remortgage deals in the 75% LTV and 85-90% LTV brackets have been cut by up to 0.4%. Other rate cuts apply across the range.
Rate cuts for both banks take effect from 10 December.
According to Moneyfacts, the average five-year fixed rate rose by 0.19% to 5.28% in December, the biggest increase since August last year. The Moneyfacts UK Mortgage Trends Treasury Report data showed that average two-year fixed rates went up by 0.13% to 5.52% in December.
