Kensington launches capped tracker range

Kensington is launching a range of capped tracker mortgages available up to 80% LTV.

The lender has introducd its first two and three-year capped trackers, with rates starting at 4.09% and capped at 5.74% for 80% LTV, 3.34% and capped at 4.99% for 75% LTV, and 3.14% and capped at 4.79% for 60% LTV..

Kensington says the move is in response to customer and broker demand for peace of mind in the face of potential interest rate rises.

It is also now offering free valuations for first-time buyers and free standard legal fees for remortgage customers, and has cut rates across a number of products, including its two-year fix at 75% LTV, which is now available at a rate of 3.99%.

Charles Morley, head of sales at Kensington, says: “Research among existing customers and brokers demonstrated a demand for further innovation in our product range and our capped trackers offer a realistic cap to help guard against rising rates, which we believe will fill a gap in the market where few lenders are offering a solution.

“Maintaining our focus on competitive pricing and innovative products aligned to our principles of responsible, sustainable and intelligent lending is a further step in our aim to become the intermediary lender of choice by providing real solutions for real people.”