West One Loans has announced notable rate cuts across its residential mortgage products. The rate reductions are particularly striking for fixed-rate mortgages:
- Two and Three-Year Fixed Rates: These have seen a reduction of up to 64 basis points, now starting at 6.75%.
- Limited-Edition Five-Year Fixed Rates: Starting from 6.09% for loans up to 75% loan-to-value (LTV), these rates have been lowered by up to 20 basis points.
Enhanced Options for Borrowers Earning High Incomes
For applicants with higher income, looking to borrow more than five times their income, West One Loans has introduced the Prime Plus Flex and Prime Flex plans. These plans now start at a reduced rate of 6.99%, marking a 64 basis points reduction.
Remortgage Opportunities with Cashback Offers
West One Loans has enhanced its remortgage offerings with cashback products. These products now start from 6.89% and provide £500 towards legal fees upon completion. This initiative aims to make remortgaging more attractive and cost-effective.
Significant Cuts in Second Charge Mortgages
The lender has also revised its second charge mortgage rates. The Apex 0 range, targeting borrowers with good credit histories, has seen reductions up to 56 basis points. The new rates are as follows:
- Five-Year Fixed Rates: Starting from 7.10%.
- Three and Two-Year Fixed Rates: Starting from 8.29% and 8.49%, respectively.
Reductions in Interest-Only Large Loan Products
For those seeking larger loan amounts on an interest-only basis, there are substantial rate reductions:
- Five-Year Fixed Rates: Reduced by 0.89%, now at 8.10%.
- Two-Year Fixed Rates: Reduced by 0.75%, now at 9.49%.
Lowered Rates for Landlord Mortgages
West One Loans is also catering to landlords with reduced rates for both core and complex fixed rate products:
- Two-Year Fix: Starting from 4.49%.
- Five-Year Fix: Starting from 5.29%.
Special Rates for Portfolio and Non-Portfolio Landlords
- Portfolio Landlords (with more than three properties): Can access two-year fixed rates from 4.19% and five-year fixed rates from 4.44%.
- Non-Portfolio Landlords: Have rates starting from 4.19% for two-year fixes and 5.06% for five-year fixes.
Official Comments and Future Outlook
Marie Grundy, managing director at West One Loans, highlights that these pricing changes significantly lower the borrowing costs for their customers. The lender aims to provide competitive options for those who might not fit the traditional high street lending criteria, including individuals with less than perfect credit ratings, older borrowers, and the self-employed.
Andrew Ferguson, managing director of buy-to-let at West One Loans, expresses optimism for the buy-to-let market as we head into 2024. These rate reductions, alongside recent criteria changes, are designed to meet the diverse needs of landlords, both large and small.