Barclays launching new 90% LTV fixed rates starting at 3.99%

Barclays is launching two new fixed rate mortgages at 90 per cent aimed at first-time buyers tomorrow.

The first product is priced at 3.99 per cent and has a £999 fee, or £499 for Barclays current account customers. The other is priced at 4.29 per cent but has no application fee. The maximum loan size for these two products is £500,000.

Barclays will also launch two new two-year fixed rates for remortgage customers and two five-year buy-to-let fixed rates.

The first two-year remortgage product is priced at 2.45 per cent and is available on loans between £100,000 and £1m. The second is priced at 2.69 per cent and is available on loans between £50,000 and £100,000. Both products are fee-free and are available to 60 per cent LTV.

The buy-to-let five-year fixes are both priced at 4.49 per cent, although one is available on loans between £50,000 and £100,000, for a £1,999 fee, and the other is available on loans between £500,000 and £1m, for a £3,999 fee.

The lender will also increase a number of rates by up to 0.17 per cent.

It will increase a five-year fixed rate, available to 65 per cent LTV, from 2.78 per cent to 2.95 per cent. It has a £1,999 fee and is available on loans between £500,000 and £2m.

A 3.19 per cent five-year fixed rate will tomorrow increase to 3.29 per cent. It has no fee and is available on loans between £50,000 and £100,000.

Another will increase from 2.99 per cent to 3.09 per cent. This also has no fee but it is available on loans between £100,000 and £1m.

However, while Barclays will increase some of its rates, tomorrow the lender will cut one of its Help to Buy products by 0.3 per cent. Its rate will fall to 3.19 per cent. It has no fee and is available on loans between £25,000 and £450,000.

Barclays managing director of mortgages Andy Gray says: “These changes are about ensuring we continue to offer good fixed rate mortgages to give customers some greater certainty with their mortgage payments – we expect demand for short term mortgage rates to remain strong which is why we’re passing on the benefits of lower rates to these borrowers.”