This week’s best residential mortgage rates

For the last three months lenders and mutuals have repeatedly dropped mortgage rates on a range of products - and this week is no different.

TSB, Virgin Money and Santander are all offering competitive deals for homeowners looking to remortgage their property, first time buyers and home movers.

For example, TSB boasts a 5.19% mortgage rate up to 60% loan to value (LTV) on two-year fixed mortgages with a £995 product fee.

Meanwhile, Virgin Money is offering a 5.70% two-year fixed rate with a maximum 90% LTV and a £1,295 fee.

Despite not being the best buys of the week, Santander has entered the fray with a couple of inviting deals too. Here is a round-up of the best residential mortgage rates based on data from Moneyfacts.

The best remortgage rates

With a 5.19% rate, TSB is top of the class for two-year rates and offers two deals, one with them directly and another with selected intermediaries on an LTV of 60%.

The mortgage with selected intermediaries offers incentives in the shape of free legal fees and £300 cashback as well as a free valuation. Its alternative direct option includes free legal fees and a free valuation as part of the deal.

Following TSB are these next best deals:

1. First Direct: A three-year fix of up to 80% LTV and incentives including a free valuation for a 5.79% mortgage rate.
2. The Co-operative Bank: A set rate of 5.09% to finance a maximum of 60% LTV of the current property and £250 cashback.
3. Vernon Building Society: Lowest rate for five-year fixes at a mortgage price of 4.85% up to 80% of your property.

The best mortgage rates for home movers

If you’re moving home and looking for the lowest two-year fixed rate, head to TSB. The lender has the best rate up to 60% LTV with a 5.09% rate as well as the best options for every LTV up to 90%.

The other deals to consider:

1. Nationwide Building Society: The three-year fix is the best on the market at 4.99% up to 60% LTV, with £999 product fees, plus eco-friendly incentives.
2. The Co-operative Bank: A Moneyfacts best buy at a set rate of 5.23% up to 75% LTV which comes with a free valuation and a £999 fee.
3. Santander: The best five-year fix deal which has 4.64% to a maximum of 60% LTV and £999 product fees.

The best first-time buyer mortgages

Buyers jumping on the property ladder for the first time ought to consider the 5.70% two-year fixed rate from Virgin Money. It comes with a more expensive product fee (£1,295) but has a free valuation.

The best of the rest:

1. Santander: Offers the same rate as Virgin Money but also offers 5.15% for a five-year fix too. The lender charges £999 in fees and include a free valuation up to £1,190.
2. Halifax: The rate stands at 5.25% and offers green-inspired incentives, which include a £250 if your first home has an Energy Performance Certificate (EPC) score of 81 or more.
3. Newcastle Building Society: The lowest two-year fixed rate at 5.99% for first-time buyers with a smaller deposit of 5%, also comes with a £999 fee.