In its owner occupier range, the lender has reduced rates by as much as 1.5 per cent in its current core fixed rate proposition across its four residential tiers, F1 to F4.
Rates start from 6.49 per cent at 65 per cent loan to value (LTV).
The lender added that its Green ABC+ for properties with an Energy Performance Certificate (EPC) of C or above has fallen from 7.89 per cent to 6.44 per cent.
Foundation said the change would provide “further savings” to borrowers looking to finance or refinance eligible properties.
On the buy-to-let side, Foundation has cut rates by up to 1.8 per cent across is five-year green product range for both F1 and F2 tiers.
F1 is for borrowers with an “almost clean credit history” and F2 is for those with historical credit blips or specialist property types.
Deals in this range are available up to 75 per cent LTV and start at 6.44 per cent with a 1.25 per cent fee.
Discount products added
In its owner occupier range, Foundation is introducing two new owner-occupier F1 discount products at both 65 per cent and 75 per cent LTV. Rates begin from 6.44 per cent and are subject to a £1,495 fee.
The lender is also bringing out two green two-year discount products, in both the F1 and F2 tiers, with rates from 6.49 per cent. They come with a free valuation, no application fee and no early repayment charges (ERCs).
The company is also releasing buy-to-let discount products across its F1, F2, houses in multiple occupation (HMO), multi-unit blocks (MUB) and short-term lets.
The deals are available up to 75 per cent LTV for both individuals and limited company borrowers. Rates start at 6.59 per cent for F1 borrowers.
George Gee, managing director (commercial) at Foundation Home Loans, said: “We are pleased to be able to cut rates across a large number of both our owner-occupier and buy-to-let products, and for a number these are significant 150 and 180 basis point drops.
“At the same time, we wanted to open up ERC-free discount product options to both residential and landlord borrowers, which we know in the current rate environment, will have an appeal particularly as they come with no early repayment charge allowing clients to more easily review their finance options over a shorter time period.”
He said the firm was “keen to continue our strong level of support for green mortgages”, which is why it cut rates and added green discount products.
“Our aim here is to recognise the shift in terms of increased landlord demand for properties already meeting an EPC level of C, plus at the same time with our Day One remortgage, it means landlords can carry out the work required on a property to get it to this level and refinance to Foundation as soon as that work is completed,” Gee added.
“Overall, we believe these rate cuts, and the introduction of a variety of new discount products, means advisers and their specialist borrower clients have a greater array of product choice to meet their needs.”
