Barclays is cutting rates on a range of its mortgages by up to 0.50% from October 11th. But with other lenders increasing rates, is now the right time to fix?

Barclays is reducing rates across its fixed-rate mortgages for both new purchases and remortgages. Here are some examples of the reductions:

• First-time buyers: A two-year fixed rate mortgage at 75% loan-to-value will fall from 4.44% to 4.09%. That means a saving of £625 per year on a £200,000 mortgage.
• Remortgaging: Those looking to remortgage at 85% LTV will see the two-year fixed rate drop from 5.32% to 4.85%, a saving of £935 per year on a £200,000 mortgage.
• Longer-term fixes: The popular five-year fixed rate at 85% LTV is being cut from 5.35% to 4.85%, giving a saving of £1,000 per year on a £200,000 mortgage.

Should You Grab a Deal Now?

Barclays’ decision to cut rates comes at a time when other lenders are going in the opposite direction. Rising oil prices and uncertainty over future Bank of England interest rate decisions are making lenders nervous.

This means that mortgage rates could go up in the coming weeks and months. If you’re thinking of buying a home or remortgaging, it might be wise to act quickly to secure a good deal.

Speak To An Expert

However, it’s always a good idea to speak to an independent mortgage broker before making any decisions. They can help you compare deals from across the market and find the best mortgage for your circumstances.