Kensington launches five-year fixed rate deals

Kensington has launched a range of five-year fixed rates, after research found an increase in demand from brokers for the deals.

Kensington found that more than a third of brokers, 35%, say they have seen demand for longer term fixed rates increase recently.

What’s more, nearly a quarter of brokers, 24%, say the most popular deal among their clients is currently a five-year fixed rate, up from just 10% this time last year.

Two-year fixed rates remain the most popular option for borrowers, say 39% of brokers, but this is down from 55% last year.

While the popularity of three-year fixed rates has remained steady, with 36% of brokers saying they are a favourite among their clients, up just 1% on last year.

Five-year fixed rate deals are available across its entire range, including verified, self-cert and buy-to-let, rates start at 6.39% and a percentage completion fee option is available on all products.

Ian Giles, director of marketing and communications at Kensington, says: “This is a challenging economic landscape and when there is so much uncertainty around people like to have the peace of mind in knowing that at least their mortgage payments won’t change. We have seen a surge in demand from brokers for five-year fixed rates and reacted accordingly with this range of competitive deals for Prime buy-to-let and self-cert borrowers.

“The deals will sit alongside the three-year fixed rates we already offer, as Kensington continues to provide intermediaries with the products and service they need to get through this difficult period.”