Among the most significant increases, Barclays raised its two-year fixed rate at 90% loan to value (LTV) with an £899 fee from 4.96% to 5.14%, while the fee-free equivalent increased from 5.11% to 5.29%.
Meanwhile, its two-year fixed rate at 95% LTV rose from 5.35% to 5.53%.
Higher-LTV three-year fixes also saw notable repricing, with the 90% LTV product increasing from 5.04% to 5.22% and the 95% LTV version rising from 5.14% to 5.32%.
Barclays also lifted several five-year fixed products by 0.18 percentage points, including its Premier 90% LTV deal, which increased from 4.65% to 4.83%, and its standard 90% LTV products, which rose from 4.85% to 5.03% and from 5.05% to 5.23% respectively.
The lender’s 95% LTV five-year fixed rate also climbed from 5.3% to 5.48%.
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Hina Bhudia, partner at Knight Frank Finance, said: “Lender margins are extremely thin, which leaves them vulnerable to the kind of moves in swap rates that we’ve seen over the past week. Tensions in the Middle East and a broad selloff in government bonds have pushed swaps higher, leaving the lenders with few options but to reprice higher.
“The leading market fixed rate now stands at 4.34%, but that’s unlikely to remain available for long. Whether mortgage rates ease back in time for the usually busy autumn selling season will depend on whether long-term government bond yields begin to normalise.
“The upcoming Budget adds additional uncertainty to that question; speculation about whether the government will show enough fiscal restraint has fuelled volatility in mortgage markets in recent years.
“Until there is greater clarity on both fronts, it’s difficult to see mortgage rates easing to a point that would unlock a meaningful rise in buying activity.”
Santander increases rates by up to 25bps
Santander has increased rates across a range of residential and buy-to-let (BTL) products, with higher-LTV borrowers seeing the largest repricing moves.
Among homemover products, the lender increased its 60% LTV two-year fixed rate with a £1,499 fee by 0.05 percentage points to 4.52%, while its 85% LTV two-year fixed rate with a £999 fee rose by 0.17 percentage points to 4.9%.
The 90% LTV five-year fixed rate with a £999 fee saw one of the largest increases, rising by 0.25 percentage points to 5.03%, while the fee-free 95% LTV two-year fixed rate increased by 0.2 percentage points to 5.54%.
First-time buyers were also affected by the repricing, with Santander increasing its 90% LTV two-year fixed rate with a £999 fee by 0.25 percentage points to 5.1%. The lender’s equivalent 90% LTV five-year fixed rate also rose by 0.25 percentage points to 5.1%.
Elsewhere, the lender increased its 60% LTV remortgage two-year fixed rate with a £999 fee by 0.1 percentage points to 4.66%, while in the BTL range, its 75% LTV remortgage two-year fixed rate with a £1,749 fee rose by 0.1 percentage points to 4.77%.
HSBC hikes rates on FTB, remortgage and BTL products
HSBC increased rates across its residential first-time buyer and homemover ranges, including two- and five-year fixed fee-saver products at LTVs from 60% to 95%.
The lender also repriced standard two- and five-year fixed residential mortgages, as well as high-value mortgage and Premier Exclusive products across multiple LTV bands.
Residential remortgage borrowers were also impacted, with increases applied across fee-saver, standard, high-value mortgage and Premier Exclusive fixed rate deals.
Within HSBC’s BTL range, it raised rates on both purchase and remortgage products, including fee-saver, standard and Premier Exclusive mortgages across a range of LTV tiers.
The lender’s international residential, remortgage and BTL offerings were also affected, with two- and five-year fixed rate products among those seeing increases
