View more on these topics

Sub-1% trackers disappear from market

Home-House-Money-Property-700x450.jpg

There are no more sub-1 per cent trackers on the market following the recent Bank of England decision to raise base rate, according to Moneyfacts.

Moneyfacts says the average two-year tracker rate today is 1.97 per cent, with the lowest on offer being 1.24 per cent.

Lenders have increased tracker rates by an average of 0.20 per cent since 1 November, when Barclays was selling two-year trackers at 0.99 per cent.

A year ago the average two-year tracker rate was 2.02 per cent and the cheapest was 1.19 per cent.

Moneyfacts finance expert Charlotte Nelson says: “Less than two weeks have passed since the Bank of England’s rate rise and the majority of providers in the variable tracker market have already passed on the increase, causing the average two-year variable rate to rise and effectively cancelling out any gains made in the past six months.

“Unfortunately, with little room to manoeuvre at such low rates, providers have no choice but to pass on the base rate rise to borrowers.”

Recommended

Money, cash

Accord pulls all tracker loans to mull BoE decision

Accord for Intermediaries has withdrawn all its residential and buy-to-let tracker mortgages while it decides how to handle the Bank of England base rate rise. An Accord spokeswoman says: “The withdrawal is temporary while we review our plans.” Accord Mortgages will align its SVR to the rest of its Yorkshire Building Society parent. This means […]

Home-House-Monopoly-Money-Property-700x450.jpg

Leeds brings in ‘market-leading’ five-year BTL tracker

Leeds Building Society has launched a “market-leading” five-year tracker with no early redemption charges. The 1.65 per cent loan is available up to 60 per cent LTV and comes with a free valuation and fees-assisted legal services for standard remortgages. The lender also has cut rates across its range of buy-to-let mortgages at 60 per […]

Newsletter

News and expert analysis straight to your inbox

Sign up