Pepper Money has slashed its rates. Its largest cut has been made to its five-year fix up to 80 per cent loan to value (LTV) which has a rate of 6.54 per cent with a £1,495 fee or 6.84 per cent with no fee.
This is available through its Pepper 18 Light range which is open to borrowers who have never had a county court judgment and have had no defaults in the last 18 months.
For borrowers with more recent blips, two-year fixed rates in the Pepper 6 range up to 80 per cent LTV have been cut by up to 0.81 per cent, while five-year fixed rates have been lowered by as much as 0.96 per cent.
Pepper Money has also reduced rates on its affordable homeownership ranges by up to 0.88 per cent, including five-year fixed shared ownership and Right to Buy rates at 75 per cent LTV and First Home deals up to 70 per cent LTV.
Paul Adams, sales director at Pepper Money, said: “This new year has brought positive news for mortgage customers, with the recent decline in swap rates translating to lower pricing on mortgages. At Pepper Money, we’ve responded quickly to the changing environment and been able to reduce every rate across our range, with cuts of up to 0.98 per cent.
“Some of the larger reductions are for those customers with smaller deposits of up to 20 per cent, which is great news for brokers as often this group has access to a smaller range of options. We are also continuing to deliver consistently excellent service and underwriter access, making it easy for brokers and their customers to access our new, lower mortgage rates.”
Darlington BS reductions
Darlington Building Society has made rate cuts across 15 mortgage deals by up to 1.1 per cent.
Changes will be made to standard, specialist, national and local mortgages, as well as deals for older borrowers, shared ownership, interest-only and specialist loans.
The changes will go live from 10 to 20 January and include its Own New mortgage for first-time buyers, which is priced at 4.99 per cent at 95 per cent LTV.
It has made a reduction of 0.8 per cent on its local two-year fixed mortgage at 95 per cent LTV, available to buyers in the DL, TS, DH, YO, SR and HG postcodes.
Darlington Building Society is also launching two exclusive remortgages for existing borrowers which will be available through intermediaries at SimplyBiz and Legal and General. These are available at 80 per cent LTV on a two or five-year fixed rate term.
Chris Brown, director of products and marketing at Darlington Building Society, said: “I’m delighted to announce this raft of mortgage rate reductions. Being able to deliver such competitive rates in such a fierce market feels very rewarding and speaks to our ethos as a building society. By dynamically adjusting our mortgage range to stay ahead of the curve, we can help more people in many different circumstances start the new year in the best possible way, by achieving their homeownership aspirations and getting the home of their dreams.
“As has been well documented, we are also acutely aware of those borrowers whose fixed rates deals are coming to end this year, and who are likely to see a rise in their mortgage interest rate. Therefore, the society has been working in partnership with L&G and Simplybiz, to develop an exclusive remortgage product, which we hope will go some way to soften the impact for these borrowers.”
