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Leeds Building Society cuts mortgage rates

Leeds Building Society cuts mortgage rates
Christina Hoghton
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Christina Hoghton

Leeds Building Society has announced a raft of significant rate reductions and launched new products.

The lender has cut a range of its fixed rate mortgages for homeowners, landlords and first-time buyers.

Residential rates will be reduced by up to 15 basis points from Monday, shared ownership mortgages by up to 20 basis points and limited company buy-to-let (BTL) rates by up to 50 basis points.

New products

The UK’s fifth largest building society has also announced the launch of new two- and three-year residential mortgages at 65%, 75% and 85% of the property’s value.

The new deals include a fee-free, three-year fixed rate at 4.89% available up to 65% loan to value (LTV), for buyers and remortgagors. The deal comes with free valuation and free legals (for remortgages).

Jonathan Thompson, senior mortgage manager at Leeds Building Society, said: “Last week, the Bank of England released its biannual Financial Stability Report, which warned that more than three million borrowers could face shock increases in their mortgage payments over the next two years.

“The changes we have made to our mortgage range will hopefully go some way to alleviating the pressure on homeowners who are coming towards the end of their fixed-term rate.

“For aspiring first-time buyers, we hope that the rate reductions we’ve made will help put homeownership within closer reach and we are pleased to add new standard residential and shared ownership mortgage products to our range.

“We’ve implemented these changes to give buyers and homeowners greater choice as rates drop across the market, and we continue to assess our range of products in support of new and existing members.”