Homebuyers and those looking to remortgage could be in for a welcome boost as Family Building Society has announced cuts to its fixed-rate mortgages.

The building society has reduced rates across its residential repayment and interest-only products, offering some relief to borrowers feeling the pinch of the cost of living crisis.

Here’s a breakdown of the changes:

• Two-year fixed-rate repayment mortgages: Reduced by 0.10%, now starting from 5.34%
• Five-year fixed-rate repayment mortgages: Reduced by 0.10%, now starting from 4.79%
• Two-year fixed-rate interest-only mortgages: Reduced by 0.20%, now starting from 5.94%
• Five-year fixed-rate interest-only mortgages: Reduced by 0.20%, now starting from 5.34%

These rate cuts follow the recent Bank of England decision to lower the base rate, making it cheaper for lenders to borrow money.

Darren Deacon, head of intermediary sales at Family Building Society, said the reductions would provide some much-needed relief for borrowers. He added: “As interest rates continue their downward trajectory, helped by last week’s Bank of England Bank Rate announcement, these reductions will bring further relief to hard-pressed borrowers looking for the certainty of a fixed-rate deal.”

What does this mean for you?

If you’re considering a fixed-rate mortgage, now could be a good time to lock in a competitive rate. A fixed-rate mortgage offers security, as your monthly payments will stay the same for the duration of the fixed-rate period, even if interest rates rise.