Barclays has announced a significant reduction in the cost of various fixed-rate mortgage products. This change, set to take effect from today, 23rd January, will benefit both new and existing residential and buy-to-let borrowers.

Barclays’ decision comes on the heels of similar rate cuts by most of the UK’s major mortgage lenders since the beginning of the year. This trend reflects a competitive mortgage market and could be a boon for those looking to get a mortgage or switch their current deal.

For new customers of Barclays, the reductions are substantial. The bank is cutting rates by up to 0.5 percentage points. This means more affordable borrowing rates, potentially making home purchases and property investments more accessible to many.

Specific Rate Offers for Home Buyers and Remortgagers

• For Residential Remortgage: Barclays will offer a two-year fixed rate at 4.12%, accompanied by an £899 fee, applicable for loans with a 75% loan-to-value (LTV) ratio.
• For Home Purchases: The bank proposes a two-year fixed rate of 4.09% with an £899 fee for a 60% LTV.
• Looking at a Longer Term: For those considering a longer horizon, a five-year fixed rate for remortgage is available at 4.47%, with a £999 fee and a 60% LTV.

Current Barclays customers aren’t left out. Those looking to switch to a fixed-rate product can enjoy cuts of up to 0.6 percentage points. This offers a significant opportunity for existing borrowers to potentially lower their monthly mortgage payments.

Buy-to-Let Customers Get a Piece of the Pie

The news is also positive for buy-to-let customers. New customers in this category can access:

• For Purchase: A two-year fixed rate at 5.68%, with a £1,295 fee and a 75% LTV.
• For Remortgaging: A five-year fixed rate at 4.60%, accompanied by a £1,795 fee, also at a 75% LTV.