In October, we experienced a significant level of uncertainty in the mortgage market resulting in lenders withdrawing a number of residential mortgage products.
In the immediate aftermath of the ‘mini-budget’, 5-year fixed mortgages hit rates above 6%, creating anxiety for existing borrowers who were considering refinancing options.
Since then, the combination of Rishi Sunak and Jeremy Hunt has brought some stability to the market and we are now beginning to see rates drop.
Residential remortgage rates
2-year fixed/tracker
Detailed below are the monthly payments (capital and interest) based on a 25-year mortgage of £250,000 with an initial 2-year fixed or tracker term. Max LTV 75% – property value £335,000
| Product max LTV ≤ 75% | Initial Rate | Follow on SVR | Initial monthly payments | Remaining monthly payments | Lender arrangement fee | Total amount payable* | APRC |
| 2-year fixed | 5.35% | 6.49% | £1,518.93 (27 payments) | £1,681.12 (273 payments) | £995 | £499,986.87 | 6.50% |
| 2-year tracker (0.75% + BBR) | 3.75% | 6.49% | £1,290.49 (24 payments) | £1,665.16 (276 payments) | £999 | £490,796.20 | 6.20% |
*Includes product or application fee, completion fee, mortgage discharge fee and cashback (if applicable)
BBR – Bank of England Base Rate
5-year fixed/tracker
Detailed below are the monthly payments (capital and interest) based on a 25-year mortgage of £250,000 with an initial 5-year fixed or tracker term. Max LTV 75% – property value £335,000
| Product max LTV ≤ 75% | Initial Rate | Follow on SVR | Initial monthly payments | Remaining monthly payments | Lender arrangement fee | Total amount payable* | APRC |
| 5-year fixed | 5.28% | 5.59% | £1,508.53 (61 payments) | £1,547.39 (239 payments) | £995 | £462,314.54 | 5.70% |
| 5-year tracker (1% + BBR) | 4.00% | 6.49% | £1,324.87 (60 payments) | £1,628.77 (240 payments) | £999 | £470,638.00 | 5.60% |
*Includes product or application fee, completion fee, mortgage discharge fee and cashback (if applicable)
BBR – Bank of England Base Rate
Your home or property may be repossessed if you do not keep up repayments on a mortgage or any debt secured upon it.
In these times of uncertainty we recommend that you/your clients review current residential mortgage arrangements. Other products, repayment options and mortgage terms are available.
Get in touch
If you wish to discuss your/your client’s personal circumstances with a member of our team, please call us at +44 (0)20 3871 2823 or email at [email protected]
For mortgages above £1m, the initial mortgage rate and LTVs may vary. Please contact the team for more details.