Catch up on Mortgage Strategy’s most popular stories this week. Aldermore announces limited edition BTL range and Mortgage rates show ‘early signs of modest decline’. Read more below:
Aldermore announces limited edition BTL range
Aldermore has introduced a fresh buy-to-let (BTL) range designed to empower landlords in securing enhanced deals for their property portfolios. All offerings come with a fixed five-year term and entail a 5% product fee, applicable for up to 75% loan-to-value (LTV). Attractive rates of 5.89% are on offer for both individual and buy-to-let landlords with sole residential investment properties.
Halifax weighs into resi market with rate cuts of up to 71bps
Halifax has become the latest major mortgage lender to slash rates on two-, five-, and 10-year residential fixes by up to 71 basis points. These reductions span across diverse products, from first-time buyers to shared equity, and will debut on August 11th.
Mortgage rates show ‘early signs of modest decline’: Bloomberg
Bloomberg Intelligence suggests that preliminary indications of a slight drop in UK mortgage rates might provide a welcome relief for the local housing market. The research unit highlights a 70-basis point decrease in anticipated peak base rate hikes by the Bank of England, now at 5.7% compared to last month’s 6.4%, attributed to emerging signals of a potential slowdown in inflation.
Bluestone pulls out of BTL market to focus on resi lending
Bluestone Mortgages is shifting its focus away from the buy-to-let market to concentrate on owner-occupied lending. The specialized lender has announced its decision to cease accepting new buy-to-let applications starting from August 11th, while ensuring that those applications already submitted will continue to be processed without disruption.
Nationwide cuts resi rates for new customers by up to 55bps
On August 9, Nationwide Building Society lowered rates on its fixed residential mortgages for new customers by up to 55 basis points.
Rents jump 10% to top a record £1,240 in July: Homelet
In July, average rents throughout the UK surged by 10.3% year-on-year to reach a new record of £1,243, according to data from the Homelet rental index. The lettings referencing and insurance company further reveals that Scotland witnessed the most significant yearly rise in rents, soaring by 15.8%, closely trailed by London, which experienced a 12.9% increase.
Sainsbury’s Bank ‘closes chapter’ as mortgage book sold to The Co-op
The Co-operative Bank has officially announced its acquisition of Sainsbury’s Bank’s mortgage portfolio, signifying the closure of the supermarket lender’s mortgage services. The acquired mortgage book, valued at approximately £479 million and comprising around 3,500 home loans, marks the final chapter in Sainsbury’s Bank’s mortgage operations.
NatWest cuts resi, BTL rates by up to 65bps
NatWest has joined the ranks of major mortgage lenders in reducing rates on specific purchase, remortgage, and landlord deals by up to 65 basis points. The changes, applicable to both new and existing borrowers, were introduced to the market on Friday, August 11, according to the high street lender.
Rise in mortgage arrears for Q2 2023: UK Finance
The UK Finance’s Q2 2023 arrears and possessions data highlights 81,900 homeowner mortgages with arrears of 2.5% or more of the outstanding balance, marking a 7% rise from the prior quarter. Of these, 30,940 mortgages fell within the lightest arrears band (between 2.5% and 5% of the outstanding balance), reflecting a 12% increase compared to the previous quarter.
Rics house price reading lowest since 2009
The most recent monthly report from the Royal Institution of Chartered Surveyors (Rics) indicates the most significant decline in UK house prices since 2009. Rics highlights that the constrained lending environment continues to exert a substantial impact on homebuyer activity.
