Barclays is the latest lender to lower its mortgage rates, reducing selected residential products by up to 66 basis points, as lenders continue to cut rates across the market.
The lender has reduced rates across purchase, remortgage and existing customer products, with changes effective from tomorrow.
The largest reductions have been made across higher LTV purchase products, with selected two-year fixes at 85% and 90% LTV reduced by more than half a percentage point.
Some if its reductions include, its purchase only two-year fixed rate at 90% LTV reduced from 5.45% to 4.79%, a reduction of 66bps, while its Green Home two-year fixed rate at 90% LTV has also fallen from 5.35% to 4.69%.
Other reductions include its premier two-year fixed rate at 85% LTV, cut from 5.35% to 4.73%, and a two-year fixed rate at 90% LTV reduced from 5.25% to 4.64%.
The lender has also reduced selected remortgage products, including its premier two-year fixed rate at 60% LTV cut from 4.54% to 4.39%, while a five-year fixed rate at 75% LTV has fallen from 4.91% to 4.85%.
Barclays has also made reductions across its existing customer reward range, including a two-year fixed rate at 75% LTV reduced from 4.63% to 4.52% and a five-year fixed rate at 75% LTV reduced from 5.03% to 4.99%.
Rachel Geddes, strategic lender relationships director at Mortgage Advice Bureau, said: “This latest spate of rate reductions is a positive start to the week for borrowers, with lower fixed and tracker rates across a range of products offering greater choice for first-time buyers, homemovers, and remortgagers.
“For aspiring homebuyers, any reduction in borrowing costs is welcome. Our research shows it now takes the average first-time buyer six years to save for a deposit, so continued competition between lenders is another step towards easing some of the financial pressure they face when getting onto the property ladder.
“After spending so long saving, nearly half of first-time buyers tell us their biggest priority is finding a home with enough space for a growing family.
“While affordability remains a key challenge, increased competition between lenders is creating more opportunities for borrowers to secure a competitive deal.”
