First-time Buyers

Trio of lenders slash mortgage rates

Your Mortgage
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Your Mortgage

Virgin Money, Nationwide Building Society and Precise Mortgage have announced cuts to their mortgage rates, available from today.

Virgin Money has cut rates on its fee saver mortgage range, with the lender now offering a two-year fixed rate product up to 70% at 3.19%, a reduction of 0.16%. A number of other reductions have been made, including a five-year fixed rate product cut 0.69% to 3.99%, offered up to 75% LTV.

Two-year tracker rates have been reduced to 3.19% with a three-year deal cut to 3.45%, both available up to 70% LTV. All products in Virgin’s fee saver range come without any arrangement fees.

Anthony Mooney, director of mortgages and savings at Virgin Money, said that more customers were seeking a fee-free option in order to avoid hefty upfront fees.

Meanwhile, Nationwide has made its third set of rate reductions in four weeks by cutting all fixed and tracker mortgages by 0.10%. This move applies to all the mutual’s products up to 70% LTV, including a new three-year fixed rate deal at 2.99% for new borrowers and 2.89% for existing customers.

Nationwide is also offering a five-year fix at 3.19% for standard borrowers and 3.09% for existing borrowers, available up to 70% LTV. Fees of £999 apply to both products, with a £500 discount for first-time buyers.

Precise Mortgages has also announced cuts to its rates. The intermediary-only lender has opened up some of its range to first-time buyers, with its 2.89% two-year fix now available up to 75% LTV. The lender has also reduced rates by up to 0.60% across its buy-to-let range and will offer LTVs up to 75% on near prime BTL mortgages.

Precise said mainstream customers will generally be offered a near-prime product even if their initial application is declined.

Alan Cleary, managing director of Precise Mortgages, commented: “We are building the broadest mortgage product range of any UK mortgage lender for the benefit of mortgage intermediaries and their customers.

“Our mainstream pricing is amongst the best in the market and with full cascading we will always show the broker the cheapest rate we can find for the borrower’s circumstances.”