Accord, Metro Bank and Natwest keep smashing interest rates

The trend of lenders cutting interest rates continued well into the second half of September.

Several rates for lower-deposit mortgages, which had been over 2%, dipped below that threshold.

Neither were the cuts restricted to mortgage types.

Lenders took chunks off standard residential and new build mortgages to maintain property market momentum.

Here's a sampling of some of the new mortgage deals on offer*

Accord keeps on pushing the envelope

Accord Mortgages offers its new deals for both remortgages and purchases, thus:

• 5-yr fixed, 20% deposit: 1.80%;
  • (£995 fee, £1000 cashback);
• 5-yr fixed, 15% deposit: 2.17%;
  • (£995 fee, £1000 cashback);
• 3-yr fixed, 10% deposit: 2.43%;
  • (£495 fee, £500 cashback).

All come with free standard valuation.

Clydesdale Bank targets new builds (residential and landlords)

Clydesdale Bank has joined Accord and Metro Bank in lowering deposit expectations for residential new build homes.

All three lenders have dropped their minimum deposit requirement to 10% (90% LTV). However, new build flat deposits still require 20% deposit, minimum.

Landlords buying new-build properties need only 20% deposit (homes) or 30% (flats).

The reduction of deposits across the board is likely a reaction to the fall-off of new build sales:

During the first half of this year, just 2,605 new build transactions were completed, a 92% fall compared to the first six months of 2020 when 32,453 new-build homes were sold. ~Mortgage Strategy

That doesn't mean you shouldn't take advantage of this seeming 'race to the bottom', though.

Natwest continues its assault on rates across the board

Natwest Bank has gone through its range like a dose of salts. Here is a sample of the highlights:

For new homeowner business, the picks are, for purchases:

• 2-yr fixed rate, 20% deposit: 1.83%;
• 5-yr fixed rate, 20% deposit: 1.90%.

These come with zero product fees.

And for remortgages:

• 2-yr fixed rate, 10% deposit: 2.50%;
  • (zero product fee/£250 cashback);
• 2-yr fixed rate, 10% deposit: 2.13%;
  • (£995 product fee)

For existing customers, purchases:

• 2-yr fixed rate, 10% deposit: 2.33%;
  • (£995 product fee).

Natwest's rate cuts come after a sustained round of higher deposit rate cuts throughout August.

Don't miss out on this rare 'race to the bottom'

These deals are by no means the only ones on offer at present. Many lenders have followed similar trends recently, including contractors' stalwart, Halifax.

There's a deal for almost every type of homeowner, existing or prospective, imagineable. If you're looking to buy, remortgage or invest, there's surely been no better time in recent history than right now. These low rates won't hang about indefinitely.

*Some of these deals are 'intermediary only', which means they're only available through an appointed broker.