Rate cuts across high street lender two-year fixes

Rate cuts across high street lender two-year fixes

Two-year fixed rate mortgages were reduced by three high street lenders this week, while everyone else avoided market moves.

Halifax made reductions of up to 0.25 per cent on its first-time buyer, home mover, Help to Buy and remortgage products, at the same time that Nationwide cut selected two-year tracker rates by up to 0.25 per cent.

Craig McKinlay, mortgages director at Halifax, said that the rate reductions will further support those trying to buy their first home, those looking to move up the housing ladder and customers who want to release equity to carry out repairs or improvements to their property.

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Meanwhile, as part of the Nationwide’s loyalty rate mortgages initiative - which compares the society’s mortgage rates for existing customers to those of its top six high street competitors - selected switcher rates were reduced.

The loyalty rate deals are only available to existing mortgage customers looking to switch deal.

Elsewhere in the market, Yorkshire Building Society’s intermediary lending subsidiary Accord Mortgages took the scalpel to rates for borrowers with a 5 per cent deposit.

David Robinson, national intermediary sales manager at the lender, said that the move reduces the upfront cost of taking out a mortgage and the cashback on completion means there is help for unexpected legal fees.

Here are the rates that were publicly announced this week:

LenderLTV/typeHeadline rateProduct fee
Nationwide60%/2-year fixed1.19%£999
Nationwide60%/2-year fixed1.59%£0
Halifax60-75%/2-year fixed1.79%£1,995
Halifax75-85%/2-year fixed2.59%£495
Halifax75-85%/2-year fixed2.59% (remortgage)£495
Halifax90-95%/2-year fixed4.99% (Help to Buy)£495
Nationwide85%/2-year fixed2.24%£999
Nationwide85%/2-year fixed2.64%£0
Accord Mortgages95%/2-year fixed4.49%£845
Accord Mortgages95%/2-year fixed4.79%£0