Vida has implemented a reduction of up to 0.35% in its residential mortgage rates. This is a substantial decrease, making home ownership more accessible to a wider audience. Notably, the Vida 36 two-year fixed rate mortgage now stands at 6.99%, and the five-year fixed rate is at 6.64%, both applicable to loans at 75% loan to value (LTV).

A Closer Look at the New Rates

• Two-Year Fixed Rate: Now at 6.99% for 75% LTV.
• Five-Year Fixed Rate: Reduced to 6.64% for the same LTV.

Reductions in Buy-to-Let Mortgage Rates

The buy-to-let sector hasn’t been left behind. Vida has trimmed these rates by up to 0.3%, signaling a positive change for landlords and investors. The most attractive rate in this category is now a five-year fixed rate at 5.39%, accompanied by a 4% fee, also at 75% LTV.

Highlights in Buy-to-Let Rates

• Five-Year Fixed Rate: A competitive 5.39% with a 4% fee for 75% LTV.

Special Limited Edition Buy-to-Let Rates

Vida has also rolled out new limited edition buy-to-let mortgage rates. The two-year fixed limited edition deals at 65% LTV are now available at 6.35%. Moreover, for 75% LTV, there are two-year fixed limited editions at a rate of 6.5%, subject to a 2% fee. These rates apply equally to individual units, houses in multiple occupation (HMO), or multi-unit block (MUB).

Helen Cawthra, the Head of Intermediary Relationships at Vida, acknowledged the difficulties of 2023, emphasising Vida’s commitment to listening to partners and supporting borrowers. She highlighted the introduction of new products and criteria enhancements, including these recent rate reductions and two new limited-edition products.

Previous Rate Cuts and Criteria Changes

It’s worth noting that this is not the first time Vida has lowered its rates this year. They previously made cuts of up to 0.4% in November. Additionally, Vida has made several criteria changes to better serve its customers. These include increasing the maximum age and term for mortgages and expanding the list of countries for expat borrowers. They have also introduced new buy-to-let products to address the current stress rate challenges in this sector.