The lender recently enhanced its later life lending criteria to accept life insurance policies in affordability assessments under the death stress test, as well as upped income multiples on purchase and remortgage products.
Its two-year fixed RIO rate at 75 per cent loan to value (LTV) with a £995 fee will go down by 0.4 per cent to 6.85 per cent and its fee-free version comes to seven per cent.
Its five-year fixed rate at 75 per cent LTV with a £995 fee will decrease by 0.3 per cent to 6.55 per cent and the fee-free equivalent will go down by 0.3 per cent to 6.7 per cent.
Emma Graham (pictured), business development director at Hodge, said: “It’s been a huge boost to see the markets settle following the base rate announcement last month, and to be putting further rate reductions for the benefit of our customers borrowing into later life into action as a result.
“We know there is an enhanced need at the moment to support consumers facing affordability and cost of living challenges within the current climate, and this is another way we can help brokers continue to secure the best outcome for their customers regardless.”
She added that the criteria changes were “ultimately there to provide greater flexibility and support more people to stay in their homes in the process”.
“The reduced rates announced in line with our RIO product range today is a reflection of Hodge’s commitment to working with its intermediary partners to create products fit for their clients, and yet another example of how Hodge continues finding ways to help its customers in the moments that matter,” Graham added.
