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

  • RT @htbplc: 📢 | We're at the @mortgagesols Specialist Lending Event next month in Esher, Solihull, York and Liverpool. Interested in atten…
  • RT @ShawbrookBroker: Join us at the @mortgagesols Specialist Lending Event 2019 throughout Feb! Don't miss industry experts addressing the…
  • RT @OTJournalist: Eastgate to join Shawbrook as MD of commercial mortgages operation. He's spent more than six years at OSB. https://t.co/y…

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