Mortgage Rates Fall, Help for First-Time Buyers, Best Deals This Week

Mortgage rates have dropped again this week, with some of the biggest names slashing their fixed rates. This means lower monthly payments and a golden opportunity for those looking to get on the property ladder.

First-time buyers with a 5% deposit can now secure a five-year fixed-rate mortgage below 5% thanks to Nationwide Building Society.

Nationwide Lends a “Helping Hand”

Nationwide isn’t stopping there. They’ve also made it easier for first-time buyers to borrow more with their revamped “Helping Hand” mortgage range. Eligible applicants can now potentially borrow up to six times their annual income (subject to affordability checks), up from 5.5 times previously. This could be a game-changer for those struggling to pull together a larger deposit.

Best Deals for Remortgaging

Nationwide: Offering the lowest two-year fixed rate at a tempting 4.12% for remortgages. You’ll need a 60% loan-to-value (LTV) and there’s a £999 fee, but you get a free valuation and can choose between £500 cashback or free legal fees.
Cumberland Building Society: For those with more equity in their property, Cumberland Building Society offers a competitive rate of 4.33% for a two-year fix. This deal allows up to 75% LTV and also throws in a free valuation on properties valued up to £750,000.
MPowered Mortgages: Still holding the top spot for the lowest three-year fixed rate at 3.99%. This one’s for those with a 60% LTV and comes with a free valuation and a choice of £250 cashback or £256 towards legal fees.
NatWest: Bagged the lowest five-year fixed rate this week at 3.82%, but be prepared for a hefty £1,495 arrangement fee. On the bright side, you get a free valuation and legal fees with this deal.
Principality Building Society: Want to avoid arrangement fees altogether? Principality Building Society has a five-year fix at 4.40% with free valuation and legal fees.

Best Deals for Home Movers

Nationwide: Scored again with the lowest two-year fixed rate at 3.94% for home movers with a 60% LTV. They also have a great deal at 4.69% for those with an 85% LTV, with no product fees!
MPowered Mortgages: Clinched the lowest three-year fixed rate at 3.91% for those with a 60% LTV.
Barclays: Swooped in with the lowest five-year fixed rate at a competitive 3.71% for those with a 60% LTV. This includes a free valuation.
NatWest: Shines with a 75% LTV five-year fix at 3.98%, plus you get a free valuation and no product fees.

Best Deals for First-Time Buyers

West Brom Building Society: Offering a glimmer of hope with a two-year fixed rate just below 5% at 4.99% for first-time buyers with a 10% deposit.
Nationwide: Stepped up their game with the lowest five-year fixed rate at 4.49% for 90% LTV and an incredible 4.99% for 95% LTV – a dream come true for first-time buyers.
Clydesdale Bank: Offered the lowest two-year fixed rate for those with a 5% deposit at 5.36%.
Leeds Building Society: Presented a five-year fix at 5.63% with no product fees, a free valuation and £500 cashback.

Remember: This is just a snapshot of the current market. Always compare different deals and consider factors like fees, incentives, and your individual circumstances. Speaking to a mortgage broker can help you navigate the options and find the best deal for you.