You are here: Home - News -

NatWest increases mortgage rates to ‘reflect market conditions’

by:
  • 10/04/2018
  • 0
NatWest increases mortgage rates to ‘reflect market conditions’
NatWest is to raise interest rates on a number of residential and buy-to-let purchase mortgages and remortgages, citing market conditions.

 

Some of the steepest increases are on the lender’s core and Help To Buy two-year fixed-rates, where rates are increasing by as much as 15 basis points (bps).

Within the NatWest semi-exclusive range selected five-year fixed-rates will be raised by up to five bps.

And buy-to-let rates will be upped by as much as 11 bps.

A NatWest Intermediary Solutions spokesperson said: “Having reviewed our portfolio we have made some adjustments to rates to reflect the current market conditions and balance our mix of business.”

Rates rising

Recent analysis showed that two-year fixed-rates hit a 19-month high in April.

Swap rates, which affect the cost of mortgage funding for lenders, have increased ahead of a potential rate hike by the Bank of England.

It’s thought policymakers could raise core interest rates to 0.75% when it meets next month.

One of nine rate setters on the Bank’s Monetary Policy Committee today warned that rates should be raised to keep inflation in check.

Charlotte Nelson from Moneyfacts.co.uk said: “The two-year Swap rate has risen to its highest value since August 2015, rising by 0.08% to stand at 1.11% today.

“As a result, providers have had little choice but to begin increasing rates to factor in the higher funding costs to their pricing.”

There are 0 Comment(s)

Comments are closed.

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.

Profiles

Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.

Marketwatch

Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.

Poll

Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
Keith Barber
Family Building Society increases broker proc fees

Family Building Society is to raise its procuration fee to 0.40%, with the minimum fee now £180, for both owner...

Close