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Halifax resumes tracker deals after four years

Shekina Tuahene
Written By:
Posted:
January 5, 2023
Updated:
January 5, 2023

Halifax has added tracker mortgages to its offering, making it the first time since 2019 that such deals were available through the lender.

The products are available to home buyers, first-time buyers and remortgagors.

The two-year trackers are available up to 90 per cent loan to value (LTV).

At 60 per cent LTV, the product is priced at 0.59 per cent above the Bank of England’s base rate making it 4.09 per cent currently. At 90 per cent LTV, the base rate is tracked at 1.09 per cent above the base rate, making it 4.59 per cent currently.

The products have a fee of £999 and are available on loans between £25,000 and £1m.

A spokesperson for Halifax said: “We are always looking at ways we can help people buy the home they want, by launching new tracker options we’re providing borrowers with greater choice.” 

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Back on tracker

After a spell on the sidelines, trackers have once again become part of the industry debate. At the beginning of  December, Mortgage Solutions highlighted a report from Rose Capital Partners which noted that demand for trackers and discounted mortgages had jumped. The brokers said that trackers had surged in popularity with clients with more than a third opting for trackers in November.

Meanwhile, in a Mortgage Solutions analysis from 15 December, brokers argued that the new higher rate environment had heighten the debate between recommending fixed or tracker products.

Indeed, Brian Murphy, head of lending at Mortgage Advice Bureau, noted in that report, that in recent weeks there had been “significantly more new mortgage borrowers” opting for trackers as the pricing could be up to 100 basis points lower than fixed rates.