This deal is a two-year discounted product with a rate currently of 2.99 per cent. It has a £199 application fee and £800 completion fee and a two per cent early repayment charge (ERC).
It is available for loans between £100,000 and £350,000 across England, Wales and Scotland.
For borrowers looking to remortgage, a three-year discounted rate product up to 85 per cent LTV has been introduced.
It also comes at an initial rate currently at 2.99 per cent for loans between £100,000 and £350,000, has a £199 application fee and £800 completion fee and a three per cent ERC.
Free legal fees are available through the lender’s nominated solicitor for remortgages in England Wales only.
Head of mortgage sales Andy Alvarez said the new products would provide greater choice for individuals with modest deposits or equity.
“These new products help extend our reach across the UK at higher LTV and they are available to everybody,” he said.
Meanwhile, Kensington Mortgages has added two mortgages to its range and made rate cuts to its buy-to-let deals by up to 40 basis points.
The lender has introduced a two-year fixed residential mortgage at 70 per cent loan to value (LTV) priced at 1.99 per cent.
For landlords, it has added a two-year fix at 75 per cent LTV with a rate of 2.59 per cent.
The rates on its buy-to-let mortgages including limited company now start from 2.99 per cent for a two-year fixed at 75 per cent LTV.
For houses in multiple occupation and multi-unit blocks, rates begin from 3.39 per cent for a two-year fixed at 75 per cent LTV.
Craig McKinlay (pictured), new business director at Kensington Mortgages, said: “We’re delighted to offer rate reductions across our buy-to-let range and to have these new special rates.
“These will open up new opportunities for intermediaries and reinforce our commitment to helping borrowers who are underserved and undervalued by high street lenders.”
Scottish first-time buyers
The lender has also committed to honouring applications made through the Scottish Home Fund Scheme, despite its closure by the government.
The scheme was closed yesterday after just five days when it ran out of money. The first-time buyer initiative which provides loans of up to £25,000 only had a budget of £60m, down from the £200m that was available last year.
Kensington will continue to accept pre-existing or ongoing cases for the scheme.