Coventry Building Society has decided to reduce rates across several areas in its mortgage portfolio. From this Friday, expect to see the following changes:

• For New Borrowers: If you’re in the market for a new home or looking to remortgage, Coventry is offering attractive deals. They’re lowering fixed remortgage rates for those borrowing between 65-80% of their property’s value (LTV). Furthermore, fixed purchase fee rates for 65-75% LTV are also on the decline. For those eyeing shorter-term commitments, two-year fixed rate fee-free rates at 90% LTV and three-year fee-free rates at 75%, 80%, and 90% LTV have been reduced. Thinking longer-term? Five-year fixed rates without any fees at 95% LTV have also been cut.
• First-Time Buyer Bonanza: Good news for those just stepping onto the property ladder! All fixed-rate mortgages tailored for first-time buyers are set to decrease. Also, if you’re considering offset mortgages or interest-only rates, these are decreasing too.
• Existing Borrowers Aren’t Left Out: If you’ve already secured a mortgage with Coventry, you can still benefit. Reductions are happening across fixed fee rates for 65-75% LTV. Certain fee-free two, three, and five-year products will also have reductions. Plus, all offset rates are going down.
• Buy-to-Let Investors: Those in the buy-to-let game, whether new or existing borrowers, can rejoice as Coventry is trimming rates across its standard and portfolio buy-to-let ranges.

Market Insights: What The Experts Are Saying

Reacting to the Rate Changes

Industry professionals have been quick to weigh in on these changes:

• Peter Stamford from Moor Mortgages highlighted the timeliness of these changes, especially with the festive season approaching. He mentioned, “Coventry’s making a serious play for market share.”
• Emma Jones of Whenthebanksaysno.co.uk pointed out the significance of these reductions for those who opted for two-year fixed rates back in 2019.
• Steven Hargreaves from The Mortgage Co views this as Coventry’s strategic move to secure a stronger position in the Q4 mortgage market and hopes these cuts could stimulate the housing market further.
• Justin Moy of EHF Mortgages praised Coventry’s proactive approach and competitiveness, indicating how these changes reflect the evolving mortgage market’s competitiveness.

The Bottom Line

If you took advantage of the rush for Christmas completions back in 2021 or are in the market for a new mortgage or refinance option, now might be the perfect time to reassess your options.

As always, when considering financial decisions, especially mortgages, it’s beneficial to consult with a financial advisor or mortgage broker to ensure you’re making the best choice for your individual circumstances.