The product has a rate of 0.98 per cent and a minimum loan value of £200,000. The lender has around five remortgage products, two of which are two-year fixed and three are five-year fixed.
The Cumberland Building Society product head Paul Collins said: “We’re currently seeing a boom in the property market driving purchase prices up as buyers look to find the right living space following the pandemic and taking advantage of the various government support schemes.
“To help keep the costs for our customers down we’re pleased to be offering one of the lowest rates on the market. This is the first time we have been able to offer a fixed rate [residential] mortgage below one per cent which will enable consumers to make significant savings on their existing deals too.”
The lender has been making a number of changes to its offering in recent months and reduced pricing on holiday let products for loans over £750,000 earlier this month.
It also introduced 95 per cent loan to value (LTV) products in April and cut rates on first-time buyers, home buyer and remortgage products in February.