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Newcastle Intermediaries cuts rates on higher LTVs by up to 41bps

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Newcastle Intermediaries has cut rates on its higher loan-to-value products by up to 41 basis points.

The mutual’s broker-only arm says its largest rate reduction of 0.41bps is on its 90% LTV five-year fixed-rate loan at 2.89%.

An early repayment charge of 5% applies to this mortgage until 31 January 2023, 4% until 31 January 2024, 3% until 31 January 2025, 2% until 31 January 2026 and 1% until 31 January 2027.

The firm adds a 95% LTV, a five-year fixed-rate deal is available at 3.45%, a 24bps reduction on the previous rate.

An early repayment charge of 5% applies to this offer until 31 January 2023, 4% until 31 January 2024, 3% until 31 January 2025, 2% until 31 January 2026 and 1% until 31 January 2027.

Both products carry a fee of £499 and overpayments of 10% a year are allowed in addition to the £499 regular monthly overpayments already permitted.

The business says elsewhere in its higher value loan range, it offers free standard valuation on properties of up to £500,000, cashback of £500 and several zero-product fee options.

Newcastle Intermediaries head of intermediary mortgages Franco Di Pietro says: “We’re constantly assessing the competitiveness of our range so we’re pleased to give brokers and their clients some competitive options across our higher LTV range.

“We’ve increased the cashback from £250 to £500 on certain products, which combined with the reduced rates will better support first-time buyers, home movers and customers who are looking to re-mortgage.”

Last month, the firm re-entered the large loan market with products available up to 80% loan-to-value at the time.

The lender withdrew its large loan offering in April 2020, but returned to allow income multiples of up to 5.5 x for loans between £500,000 and £1,500,000.

Original Article

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