The direct-only lender, part of the Yorkshire Building Society group, has consistently offered sub-2% products and has again undercut the rest of the market. Chelsea BS will offer the mortgage at 60% LTV.
The lender has also cut the rate on its five-year fix from 4.34% to 4.29%, available up to 90% LTV. Both mortgages have a fee of £1,545.
“We remain committed to providing borrowers with exceptional mortgage rates and have made these reductions to two of our most competitive deals,” said Chelsea Building Society product manager Brendan Gilligan.
“These two mortgages help to illustrate the low rates across our range, from longer-term fixed rates attractive to first time buyers to products for borrowers who have a bigger deposit or more equity in their home and can reduce their monthly repayments by remortgaging with a market-leading low rate.”
