Halifax’s latest fixed product will not be attractive to FTBs

I was interested to read last week that Openwork is offering an exclusive two-year fixed rate product from Halifax with a 90% LTV at 6.49%, aimed at home movers and first-time buyers (Mortage Strategy Online).

Unless big lenders return to sensible lending aimed at first-time buyers, they will not be interested in returning to the market.
For a major lender to charge 6.49% and borrow at 0.69% represents a huge profit.

Borrowers are better off saving an additional 5% and opting for one of the many deals aimed at first-time buyers that are below 4%.