In addition to the new rate, the lender says it has also substantially reduced rates across their Help to Buy range.
The two year fix, which has been reduced by 0.8%, now stands at 4.69% and is available up to 95% LTV with no booking fee. A five year fix has been reduced by 0.6% and is also available at 4.99% up to 95% LTV with no booking fee. Both deals include Santanders free valuation service.
Santander also reported that it is making reductions to some of its other products, including:
- Two year fix at 2.14% (reduced by 0.15%) with a £995 booking fee, available up to 80% LTV for homebuyers and remortgagers
- Five year fix at 3.19%% (reduced by 0.25%) with a £995 booking fee, available up to 80% LTV for homebuyers and remortgagers
- Two year Tracker at 1.59% (reduced by 0.20%) with a £995 booking fee available up to 75% LTV for homebuyers and remortgagers
- Flexible offset Lifetime Tracker at 2.99% (reduced by 0.20%) with a £495 booking fee available up to 75% LTV for homebuyers and remortgagers
The fixed and 2 year tracker rates come with Remortgage Solution, offering a free valuation and free legals or £250 cashback for those remortgaging.
Miguel Sard, Head of Santander Mortgages, Santander said:
“Our new rates are designed for all mortgage borrowers. We want to support everyone looking to take the next step – whether they are looking to get a foot on the property ladder, remortgage or move to a new home. These products are some of the lowest rates available and we will help customers looking to arrange the best possible deal in 2015.”