Catch up on Mortgage Strategy’s most popular stories this week. Nationwide cuts mortgage rates up to 0.40% and Tenet disposes of AR networks in deals with LSL and Openwork. Read more below:
Nationwide cuts mortgage rates up to 0.40%
Nationwide Building Society has cut mortgage rates by up to 0.40%. The reductions are effective from Wednesday 23 August and apply to a range of fixed and variable rate products. The move comes as swap rates have fallen in recent weeks.
Economy cooling fast but rates likely to rise again: Hargreaves
The UK economy is cooling rapidly, but interest rates are still expected to rise again in the near future. This is because inflation remains high, and the Bank of England is under pressure to take action to bring it under control. However, there is a risk that further rate hikes could push the economy into recession.
Tenet offloads AR networks in deals with LSL and Openwork
Tenet Group has disposed of its appointed representative (AR) networks in deals with LSL and Openwork. LSL has agreed to buy TenetLime, Tenet Group’s mortgage and protection network, for up to £12.9 million. Openwork has agreed to take on TenetConnect, Tenet Group’s financial advice network. The deals are expected to be completed by mid-2024.
Santander cuts resi and BTL rates by up to 20bps
Santander has cut its residential and buy-to-let fixed rates by up to 20 basis points. The reductions became effective from August 22nd and apply to a range of products. The move comes as swap rates have fallen in recent weeks.
HSBC cuts resi and landlord rates by up to 30bps
HSBC has cut its residential and landlord home loan rates by up to 30 basis points. The reductions are effective from August 23 and apply to a range of products. The move comes as swap rates have fallen in recent weeks.
Majority of over-55s worried about affording repayments
Fresh research indicates that nearly 4 out of 5 (79%) individuals aged 55 and above, possessing fixed rate mortgages, are anxious about affording payments post their current deal’s conclusion. Key Later Life Finance’s nationwide study of mortgage-holding over-55s revealed that 20% of respondents express ‘extreme concern’ about this issue.
Right Mortgage and DA Club reveal new partnership
The Right Mortgage & Protection Network and DA Club have established a partnership with Uinsure’s latest digital offering, UinsureCX. This innovative product enables advisors to streamline insurance quotes within the mortgage advisory process. Consequently, member firms within both networks can seamlessly direct their clients to UinsureCX for automated building and contents insurance quotes.
Buyers pay £1.1bn in stamp duty amid calls for downsizers help
Homebuyers paid £1.1bn in stamp duty in July, according to analysis of the latest HMRC figures. This is the highest amount of stamp duty paid in a single month since March 2022. The increase in stamp duty payments comes as the housing market continues to recover from the pandemic.
Rates continue to fall as market quietens: Moneyfacts
Rates are on a downward trend as the mortgage market gradually calms following weeks of heightened activity, as reported in the recent Moneyfacts rate watch. In the realm of two-year fixed mortgages across all loan-to-value ratios (LTVs), the average rate has experienced a marginal decline. Specifically, it has shifted from 6.8% on August 11 to 6.76% on August 18, 2023.
Average five-year fixes fall 7bps in a week: Rightmove
The average five-year fixed-rate mortgage fell by 7 basis points to 5.79% from a week ago, according to data from Rightmove. This is the third consecutive week that five-year fixed rates have fallen. The fall in rates is being driven by a number of factors, including lower swap rates and a more cautious approach from lenders.
