West Brom cuts 10-year fixed rates

There is also no booking or completion fee to pay on any mortgage in the society’s 10-year range.

Fixed rates have been reduced from 2.79 per cent to 2.59 per cent for new purchasers, home movers and remortgage customers at a maximum loan-to-value (LTV) ratio of 65 per cent. 

A rate of 2.89 per cent is available at up to 80 per cent LTV, a reduction of 0.1 per cent on the West Brom’s previous offering.

All products in the range include a free valuation, while those borrowers who are remortgaging also qualify for fees assisted legals. 

The mortgages are portable, which means borrowers can transfer their product if they wish to purchase a new property during the term without incurring any early redemption charges. 

David Taylor, the West Brom’s head of products, said: “We regularly review our mortgages to ensure they are meeting customers’ needs and remain competitively placed in the market. 

“This isn’t just for our rates of interest; we also look at the incentives and fees that can help keep the total cost of borrowing down.”

The West Brom has also changed a number of its two-year fixed rate mortgages.  Products up to 80 per cent LTV no longer have booking fees and selected rates have been lowered. 

These include a two-year fixed rate now at 1.74 per cent for up to 65 per cent LTV and a new remortgage rate of 1.99 per cent up to 80 per cent LTV.

Products revert to the West Brom’s standard variable rate of 3.99 per cent at the end of their fixed rate terms.

When asked what he thought about the fact West Brom was charging no booking or completion fee, Paul Dorward, mortgage adviser at Pad Financial, said it is vital for advisers to calculate the overall cost of a home loan.

He said: “The biggest thing to consider with a long-term fixed rate is it is tying you in for that period of time. There will be little flexibility but with markets as uncertain as they currently are, people may like the security this offers from interest rate movements.”