Aside from rate cuts, lender is also offering cashback upon completion
Fintech lender MPowered Mortgages has unveiled significant rate reductions across its entire fixed rate mortgage range – its biggest cuts since Christmas last year.
The lender has slashed rates by up to 47 basis points (bps), with five-year fixed rates now starting from 4.38%, previously 4.84%, for purchasers, and from 4.68%, previously 5.14%, for remortgagers. Both are subject to a £1,999 arrangement fee.
For those opting for five-year fixes without an arrangement fee, rates start at 4.53% for purchases and 4.78% for remortgages.
In the prime residential two-year fixed product range, MPowered introduced reductions of up to 42bps. Purchase-only products at 60% loan-to-value (LTV) now start at 4.79% with a £999 arrangement fee, while remortgages at the same LTV start at 5.19% with a corresponding arrangement fee.
The three-year fixed product range also had rate cuts of up to 47bps. For customers opting for deals with an arrangement fee of £1,999, rates begin at 4.59% for purchase-only products at 60% LTV and 4.68% for remortgage products. Those foregoing an arrangement fee can benefit from rates as low as 4.99% for both purchases and remortgages.
Furthermore, MPowered has made up to a 30bps reduction in rates for its 10-year fixed range, with rates starting at 4.59% at 85% LTV for purchasers and 4.69% for remortgagers, both with a £999 arrangement fee.
This is the second time that the lender has slashed prices since the Bank of England held rates at 5.25% earlier this month. Just last week, it reduced rates on its two-, three-, and five-year fixes by up to 30bps.
In addition to the latest rate cuts, MPowered has sweetened the deal for two- and five-year purchase products exceeding £200,000, offering a £500 cashback upon completion.
Refinancing options include a choice between the legal assist solution or a £500 cashback. For remortgages over £200,000, borrowers stand to get a £1,000 cashback.
“The Christmas break is a perfect time for people to review their finances and think about moving house, which is why we thought it was a great opportunity to launch new rates to help them,” Stuart Cheetham, chief executive at MPowered Mortgages, commented.
“‘Keep calm and carry on’ is our motto for the Christmas season! We don’t have falling snow, but we do have falling swap rates, and with increased stability in the market, there are very positive signs for borrowers in 2024.
“As always, borrowers looking to take advantage of these new rates should seek independent professional advice to ensure a comprehensive understanding of the products on offer and how they match up to their requirements.”
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