If you are a homeowner, then we have some good news for you to enjoy!
This is because three more mortgage lenders have announced cuts to in their rates.
Nationwide Building Society, the Co-operative Bank and Yorkshire Building Society are all lowering their rates due to a fall in wholesale funding costs.
The biggest reduction in the Nationwide range is to its 5 year fixed rate mortgage for those of you buying a new home, who pay a higher arrangement fee.
Rates on this range will drop by 0.3%, although the fee will rise from from £1,499 to £1,999 which also applied to any of its higher fee deals.
Nationwide’s 2 year fixed rate mortgage are being cut by 0.1%, while 2 year tracker mortgages will be reduced by 0.05%.
It is also introducing a new range of 2 year fixed rate mortgages that have a £999 arrangement fee. They start at 5.58% but only if you have a 40% deposit.
- Yorkshire Building Society mortgages
Yorkshire Building Society is cutting its Fresh Start mortgage (which is aimed at those of you that are divorced or separated), by 0.5%. It is also lowering 2, 3 and 5 year fixed rate mortgages by 0.15%.
This means you will get a rate of 5.59% if you have a 25% deposit.
Yorkshire has also slashed the arrangement fees on its mainstream mortgages from £995 to £495.
- The Co-Operative Bank mortgages
For those of you borrowing 75% LTV, the Co-operative Bank has reduced its 3 and 5 year fixed rate mortgages by 0.3% and 0.7% respectively.
Mortgage rates have been falling steadily in recent weeks as mortgage lenders pass on to you the reductions in swap rates, which is what fixed rate mortgage deals are based on.
- Fixed rate costs dropping
New Bank of England stats show that the cost of 2 and 5 year fixed-rate mortgages for those of you with at least a 25% deposit, fell for the second month running, dropping by 0.27%.
But the drop was less obvious for those of you with with smaller deposits (i.e. most of us!); a 5 year fixed rate for 95% LTV only dropped by 0.05% to an average rate of 7.09%.
10 of the top 12 mortgage lenders have cut their 2 and 3 year fixed rate offers in the last couple of weeks as they all try to fight for our business.
You can get 2 year fixed-rate mortgages with rates of less than 5% from some lenders, but these, unsurprisingly, come with hefty arrangement fees!
Need mortgage help? Use an unbiased adviser who can put you in contact with Nationwide, the Co-Operative Bank or Yorkshire Building Society, as well as many other mortgage lenders, to help you find the best mortgage to suit your circumstances.
(Please note that articles on Money Hospital do not constitute regulated financial advice. The articles are intended to provide general personal financial information, and are based on journalistic research. We urge you to consult an Independent Financial Adviser (IFA) before making any important decisions about your finances. All rates are correct at time of printing but are subject to change without notice.)