Barclays and Santander target first-time buyers with mortgage changes
Barclays has cut select mortgage rates for first-time buyers, as well as landlords and existing customers.
The lender now offers two-year fixes of 2.95% or 3.47% including £1,000 cashback to borrowers with a deposit of only five per cent.
Or buyers can secure a rate of 3.39% fixed for five years or 3.65% including £1,000 cashback.
For landlords a rate of 2.3% can now be fixed for two-years at 60% loan to value (LTV).
Santander’s new deals
Santander has launched mortgages with rates starting from 2.45% at 85% LTV.
The deals are fee-free and come with £1,000 cashback.
It means the lender now offers a three-year fixed rate of 3.6% at 95% LTV, or 2.65% at 90% LTV.
Miguel Sard, head of mortgages at Santander said: “With a zero product fee, free valuations and £1,000 cashback, first-time buyers with Santander now have extra money available to help get them on their way to turning their new home into their dream home.”
Saffron launches self-build
Outside of the first-time buyer market, Saffron Building Society is offering a lower rate, self-build mortgage of 3.99%.
The lender will consider each case through a specialist self-build underwriter and up to five times income will be granted on certain cases.
The mortgage is fixed for two-years at 75% LTV.
Teachers amends buy to let
Teachers Building Society increased the maximum age and coverage ratio for its buy-to-let mortgages.
The lender has increased the maximum landlord age to 83 and the maximum mortgage term to 40 years.
At the same time, the coverage ratio for lower rate tax payers has been reduced from 145% to 125%.
Andy Yates, business development manager at Teachers Building Society, said: “The increase to our maximum age and the reduced rental coverage are designed to improve our criteria, support landlords looking to purchase or remortgage and act on our broker feedback.”