The Post Office is launching a new range of 90% LTV deals tomorrow, with two-year fixed rates from 5.45%.
In addition, Post Office Mortgages is offering 85% LTV deals and has cut rates across its other mortgages for the fifth time this year.
It is also introducing a new fee free five-year fixed mortgage for existing homeowners looking to change their lender.
Like all Post Office mortgages, details of the new 90% LTV range will be available over the telephone, from Post Office branches and on the Post Office’s website.
The range is available to both first-time buyers and existing homeowners who need to remortgage.
The new 90% LTV range includes a two-year fixed rate at 5.45%, a three -year fixed rate at 5.99%, a five -year fixed rate at 5.99%and a tracker at 5.49%.
The Post Office has cut the rates of all its fixed rate mortgages across its existing 75% and 80% LTV ranges, in some cases by 0.36%.
Marco Hughes, director of personal lending at the Post Office, says: “Whilst there are existing 90% deals available, many remain out of reach for most borrowers because the rates are too high.
“Instead, we’re offering more affordable rates that will allow more borrowers the opportunity to take out a mortgage with a smaller deposit. This should particularly help first time buyers. However, we are not forgetting those looking to move lenders and are offering a new ‘fee free’ range to help them too.
“The latest additions to our range and the futher rate cuts reflect our commitment to offer our customers market leading rates.
“As a leading player in the market now offering more than 40 different mortgages, we believe in giving long term value for the life of the mortgage. This means being up front and transparent about any fees and clear about the rate you’ll get when the ‘fixed’ period is over.”