The change in mortgage rates will apply to its new business and existing borrower ranges from 11 January.
Its two-year fixed rate for shared ownership at 90 per cent loan to value (LTV) will be cut from 6.28 per cent to 5.79 per cent. A five-year fix at 90 per cent LTV has been reduced by 0.15 per cent to 4.99 per cent.
Skipton Building Society has also cut the rate of its track record mortgage which is to help renters borrow up to 100 per cent LTV by considering their rental payments when assessing affordability.
This will be lowered by 0.13 per cent to 5.52 per cent.
Jennifer Lloyd, head of mortgage products and propositions at Skipton Building Society, said: “I’m delighted to announce we are starting the new year by making 99 reductions to our mortgage product range as of tomorrow, from new and existing customer products to our track record mortgage aimed at helping trapped renters access a deposit.
“It has been great to see mortgage rates being reduced across the market over the past few weeks and hopefully this is a sign of things to come throughout 2024, we keep all our products under constant review to make sure we’re offering the best deals for all customers especially those looking to take their first step onto the ladder, so it is great to be able to start off the new year with this reduction.”
Newcastle BS cuts interest-only mortgage rates
Newcastle Building Society has reduced its interest-only mortgage rates by up to one per cent.
This includes a five-year fix available up to 75 per cent LTV, which now has a rate of 4.65 per cent. There is also a two-year fix at 5.05 per cent.
Both deals have early repayment charges (ERCs) which decline over the fixed rate term.
The products have a £1,499 fee and allow for 10 per cent of overpayments each year.
Franco Di Pietro, head of intermediary mortgages at Newcastle Building Society said: “As rates start to reduce market-wide, we are still experiencing demand from brokers and their clients who are wanting to utilise interest-only products.
“We are pleased to be able to make significant reductions to rates across our range of up to one per cent which, alongside our flexible lending criteria, will support borrowers looking to purchase or remortgage a home.”
