Saffron Building Society has reduced the mortgage stress rate on its products from 3% to 2%, following the Bank of England’s announcement that it would be scrapped in August. The 3% stress rate was introduced in 2014 as a way of ensuring that borrowers were not approved for debt that they would then not be able to afford to pay back. Saffron suggested it has been contested by some in the industry as being “too restrictive” and causing “unnecessary affordability rejections” for applicants who could easily afford their repayments.

MPowered Mortgages has announced that it has reduced rates for the fourth time since the mini-Budget. The fintech mortgage lender confirmed that rates across its residential fixed rate range will benefit from the reductions, including its two, three, five, seven and 10-year products. The fixed rate with the largest reduction since the mini-Budget is MPowered’s five-year fixed rate, which has seen a total reduction of 140 basis points since October.

Fleet Mortgages has announced rate cuts across all of its five and seven-year fixed rate mortgages for both 65% and 75% LTV. The buy-to-let specialist lender has also changed its revert rate for all fixed rate products after the end of a special rate to bank base rate plus 3%, Fleet is also withdrawing its 80% LTV products, with completion fees moved to 2% for all products, and booking fees now at £199 for fixed rates.

Roma Finance has announced that it has achieved its record month in terms of new business and redemptions in October. Year-on-year, the Roma loan book has increased by 88%, while successful redemptions have continued to climb with a 100% annual increase. Roma added that it has experienced multiple record-breaking periods of enquiries and completions over the last 14 months, while it also has its highest ever pipeline in both volume and value.

Landbay, has reduced rates on all of its five-year fixed rate mortgages by up to 0.30%. The specialist buy-to-let lender, has also added two new products to its variable fee range. Landbay’s green standard five-year fixed rate products, available for properties with an Energy Performance Certificate (EPC) rating of A to C, have been reduced by 0.20% and come with a 2% fee. The 65% LTV product has a rate of 6.19% while the 75% LTV is set at 6.29%.

Share Story: