Our weekly guide on Mortgage Best Buys Mortgage Rates. We also include commentary on the current market economy whilst keeping you updated with our Guides section on our website talking about Mortgages, Protection, Money, Property and Financial Planning.
Market Commentary
As of 1st February, Bank of England made the decision to hold base rate at 5.25%; therefore no changes since August 2023. The forward curves are difficult to predict; many indicating rate reductions may be on the horizon; however unless we see drastic changes to the economy through inflation plummeting or rapidly rising I’d expect the BoE to retain the base rate at this level for some-time – this means healthier rates for deposit-based savings to continue.
In terms of mortgage-rates, there is little movement in SONIA rates, (market where lenders borrow money) and this would indicate rate movements are driven by lenders desire to compete for market-share and as a result in December 2023 and January 2024 a number of lenders reduced product ranges. At the beginning of February 2024 certain lenders have now started to increase some of their rates across certain ranges; although rates on across majority of loan to value brackets are significantly lower than throughout 2023 which must be good for consumers. This has been noted through increased activity through Estate Agent channels with more registrations and property listings, it could be pent-up demand? Time will tell.
First Time Buyers Fixed Rates
| Lender | Rate | Loan to Value | Rate Type |
| Nationwide | 5.30% | 95% | 2-year fixed |
| HSBC | 4.89% | 90% | 2-year fixed |
| Leeds | 4.93% | 95% | 5-year fixed |
| Santander | 4.47% | 90% | 5-year fixed |
Large Mortgage Loans Purchase Rates over £1m
| Lender | Rate | Loan to Value | Rate Type |
| Natwest | 4.69% | 85% | 2-year fixed |
| Santander | 4.30% | 75% | 2-year fixed |
| Halifax | 5.83% | 85% | 2-year tracker |
| Nationwide | 5.40% | 75% | 2-year tracker |
Remortgage Fixed Rates
| Lender | Rate | Loan to Value | Rate Type |
| Principality | 4.49% | 75% | 2-year fixed |
| Leeds | 4.43% | 60% | 2-year fixed |
| Principality | 4.25% | 75% | 5-year fixed |
| Nationwide | 3.99% | 60% | 5-year fixed |
| HSBC | 4.59% | 75% | 10-year fixed |
Buy to Let Purchase Rates
| Lender | Rate | Loan to Value | Rate Type |
| TMW | 3.99% | 75% | 5-year fixed |
| Kensington | 4.49% (Ltd) | 75% | 5-year fixed |
PRODUCTS CORRECT AS OF 09.2.24
ALL MORTGAGE RATES ARE SUBJECT TO CREDIT STATUS, INCOME AND AFFORDABILITY.
ARRANGEMENT FEES AND EARLY REPAYMENT CHARGES MAY APPLY TO THESE PRODUCTS THESR ARE FOR ILLUSTRATIVE PURPOSES OF RATES. PLEASE CONTACT AN ADVISER FOR A RECOMMENDATION TO MEET YOUR CIRCUMSTANCES. ALL VIEWS IN MARKET COMMENTARY ARE THE PERSONAL OPINIONS OF THE AUTHOR.
YOUR HOME OR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
