Newcastle Intermediaries has reduced rates on its five-year 95% LTV mortgages by up to 0.16 percentage points.

A five year fix of 3.09% is a 0.16 percentage point reduction on its current rate, and is available at a maximum LTV of 95%.

It comes with fees of £498, 10% overpayments per annum and an early repayment charge of 5% until 31 July 2020, 4% until 31 July 2021, 3% until 31 July 2022, 2% until 31 July 2023 and 1% until 31 July 2024.

Alternatively, for borrowers not wanting to pay any fees, a 3.35% fix for five years (5.0%APRC) is available at 95% LTV and is a 0.10 percentage point reduction on its current rate.  Free valuation, £500 cashback, 10% overpayments per annum and an early repayment charge of 5% until 31 July 2020, 4% until 31 July 2021, 3% until 31 July 2022, 2% until 31 July 2023 and 1% until 31 July 2024.

Stuart Miller, customer director at Newcastle Intermediaries, said: “We’re pleased to see that the first time buyer market remains very active, and our reduction in rates supports buyers making their first step onto the housing ladder. We are dedicated to supporting the first time buyer market and our flexible and common sense approach to underwriting means we can consider customers who require a bespoke approach.

“These products would also suit those looking to re-mortgage and possibly increase their loan to make the most of some extra funding for home improvements for example. We’re also seeing an overall increase in five year mortgages with borrowers wanting more certainty around monthly payments and locking in longer term deals.”