NatWest joins summer rate war with cuts of up to 0.64%

NatWest Intermediary Solutions is to become the latest lender to slash rates, with cuts of up to 0.64 per cent to a large selection of its residential fixed rates.

The cuts will all be between 80 and 90 per cent LTV, with the biggest cut made to a two-year fix for first-time buyers at 90 per cent LTV, which is being reduced 64 basis points to 4.45 per cent. The home mover version will be cut tomorrow by 50 basis points to 4.69 per cent.

A three-year fix at 90 per cent LTV will be reduced from 4.79 per cent to 4.59 per cent with £995 fee, while a fee-free option will be reduced 40 basis points to 4.89 per cent.

First-time buyers will also see five-year fixed rates reduced, with an 80 per cent LTV deal cut 0.14 per cent to 3.95 per cent. A 90 per cent deal will be cut from 5.39 per cent to 5.35 per cent.

NatWest is also cutting rates in its buy-to-let range including a two-year fix at 75 per cent LTV, which will be reduced by 26 basis points to 3.99 per cent.

NatWest Intermediary Solutions head of sales Mark Bullard says: “Research we conducted recently with brokers showed that they were very optimistic about the prospects for both the remortgage and the buy-to-let sectors, so these rate reductions to almost 50 of our purchase and remortgage deals should be welcomed.

”The bulk of our residential rate cuts are for the higher-LTV mortgages, including our first-time buyer only deals, underlining our appetite for supporting this sector of the market.”

Nationwide, Barclays, Accord Mortgages, Leeds Building Society and Virgin Money have all announced rate reductions in recent weeks.