Residential mortgage rates will be cut by between 0.22 and 0.54 per cent, while buy-to-let pricing will fall by between 0.39 per cent and 0.74 per cent.
Reductions include a residential purchase or remortgage product at 75 per cent loan to value (LTV) which is fixed for two years and now has a rate of 6.23 per cent. This has a £999 fee and offers £350 cashback or remortgage transfer service.
There is also a five-year fixed deal at 65 per cent LTV, available for buy-to-let purchase or remortgage, which is priced at 6.32 per cent. It has a £1,999 fee and offers £350 cashback or remortgage transfer service.
The remortgage transfer service is when Coventry Building Society takes care of the legal process.
The mutual is also reintroducing options at 80 per cent LTV for residential borrowers.
Ben Williams, corporate account manager at Coventry Building Society, said: “Last week’s inflation figures and the subsequent reduction in swap rates was the welcome news we were hoping for.
“It’s given us the opportunity to reduce rates on the majority of new business products and return value to borrowers wherever we can.”
TSB cuts two-year fixed rates
TSB has reduced its two-year fixed house purchase and remortgage rates by up to 0.55 per cent.
The changes came into effect today, and rates now begin at 6.04 per cent at 60 per cent LTV with a £995 or 6.44 per cent with no fee.
This rises to 6.84 per cent at 90-95 per cent LTV with no fee for homemovers and first-time buyers, at 6.59 per cent for remortgagors at 85-90 per cent LTV, also with no fee.
