Property Investment Logo

Property Investment

Illustration of UK bank and pile of coins

Virgin Money Hikes Rates and Debuts New Buy-to-Let Offers

Virgin Money has rolled out several key updates to its mortgage products, including rate hikes across its residential range and the launch of new buy-to-let product transfers. This move reflects an ongoing trend in the mortgage industry, aimed at adapting to changing market conditions.

Virgin Money has made adjustments to its mortgage offerings, including a rate increase of up to 0.10% across its residential mortgage range. This change could affect anyone looking to secure a new home loan or refinance their current mortgage.

New Buy-to-Let Product Transfers

For landlords, Virgin Money has introduced new buy-to-let product transfer fixed-rate deals. These are tailored for landlords looking to transfer their existing mortgage products to lock in a fixed rate for a more predictable repayment plan. The details of these new offers are as follows:

  • Two-Year Fixed Rates: Starting at 4.84% for loans with a 60% loan-to-value (LTV) ratio, and 5.14% for those with a 75% LTV.
  • Five-Year Fixed Rates: Available at 4.61% for 60% LTV and 4.81% for 75% LTV.
  • Product Fees: All these fixed-rate products carry a £3,995 fee.

Additionally, Virgin Money has launched buy-to-let product transfer tracker deals, which include:

  • Two-Year Tracker Rates: Beginning at 5.79% up to 60% LTV and 6.21% at 75% LTV, each with a £1,995 fee.

Adjustments to Existing Residential Products

Alongside the new buy-to-let options, Virgin has also tweaked rates on several existing residential products:

  • Selected Fixed Rates: These rates have increased by up to 0.10%, now starting from 4.38%.
  • 90% LTV Fix and Switch: Increases of up to 5 basis points (bps).
  • Remortgage Fixed Rates: These have also seen a 0.10% increase, starting now from 4.79%.
  • Greener New Build and Own New Rate Reducer Rates: Increases by 5 bps and up to 10 bps respectively.
  • Rate Reducer Incentive Fee: The fee for the Own New Rate Reducer 5% has climbed by £500, now at £995.

Extended Green Reward Offer

In an effort to promote sustainable living, Virgin Money has extended its green reward offer. This initiative grants a £250 cashback to existing customers who make eligible green home improvements. The improvements must aim to increase energy efficiency or reduce the property’s carbon footprint.

  • Eligibility: Open to residential and buy-to-let customers who take on additional borrowing or a product transfer with extra borrowing.
  • Spending Requirement: At least £2,500 on qualified green improvements.
  • Registration and Claim Deadlines: The registration deadline is now extended to December 31, 2024, with the claim deadline on June 30, 2025.

Posted

in