The Bank of England announced yeserday that the base rate would increase from 4% to 4.25%
However, one lender this morning is cutting some of its new mortgage rates from today, despite the Bank of England hiking the base rate yesterday.
The lender said it is making reductions of up to 0.45 percentage points across some products, including fixed and variable rates.
They added “We regularly review our mortgage rates and these latest cuts are being made across both our fixed and tracker products, meaning all types of borrowers could benefit, whether they are buying their first home, moving to their next or looking to re-mortgage.”
The new deals include a two-year fixed rate with no fee and a rate of 4.49%. The rate has been reduced by 0.45 percentage points and borrowers will need a 40% deposit.
A three-year fixed rate is also available at 4.89% with a £999 fee for borrowers with a 10% deposit. The rate will be 0.30 percentage points lower than previously.
In general, the base rate is not the only factor that lenders look at when pricing mortgages, with swap rates, funding costs and competition with other lenders or targeting particular borrowers also potentially playing a part.
Contact our team to find out which is the best rate for you and hopefully save you some money Mortgages & Protection | Robinsons Tees Valley
Your home may be repossessed if you do not keep up repayments on your mortgage.
