NatWest reduces Residential Mortgage Rates and BTL Rates
NatWest has this morning announced significant rate reductions across its portfolio of mortgage products. The changes, effective immediately, span both residential and buy-to-let (BTL) markets, providing borrowers with more competitive options amid ongoing economic uncertainty. In this article I will run through the residential mortgage rates and buy-to-let rate reductions and provide a bit of an insight into what I think the future holds for mortgage rates moving forward.
Residential Mortgage Rates Reductions
Firstly, let’s take a look at the residential mortgage rates being reduced by NatWest. For homebuyers and those looking to remortgage, NatWest has introduced the following rate cuts:
- Standard Purchase Mortgages: Selected 2-year and 5-year fixed-rate deals have been reduced by up to 0.10% and 0.14%, respectively.
- High-Value Purchases: Borrowers seeking larger loans will benefit from reductions of up to 0.10% on 2-year deals and up to 0.13% on 5-year deals.
- Remortgaging Options: Standard remortgage products have seen even steeper cuts, with rates reduced by up to 0.16% on 2-year deals and 0.07% on 5-year deals. High-value remortgage deals have also seen reductions of up to 0.16% on 2-year fixes and 0.06% on 5-year fixes.
- Shared Equity and Help to Buy: These products are also more competitive, with rate cuts of up to 0.14% on purchase deals and 0.16% on Help to Buy remortgage options.
Buy-To-Let: Substantial Rate Reductions
NatWest has made aggressive cuts to its buy-to-let range, providing significant relief to landlords and investors:
- BTL Purchase: Rates have dropped by up to 0.34% on 2-year fixes and up to 0.36% on 5-year fixes.
- BTL Remortgage: Remortgaging landlords can access even larger reductions, with cuts of up to 0.39% on 2-year deals and 0.35% on 5-year deals.
Green Mortgages Get More Competitive
NatWest’s green mortgage offerings, aimed at borrowers purchasing or remortgaging energy-efficient properties, have also been reduced:
- Green Purchase: Rates are down by up to 0.10% on 2-year deals and 0.14% on 5-year deals.
- Green Remortgage: Borrowers remortgaging their eco-friendly properties will see reductions of up to 0.16% on 2-year deals and 0.06% on 5-year deals.
- Green Buy-to-Let: Landlords investing in energy-efficient rental properties benefit from reductions of up to 0.32% on 2-year purchases and up to 0.29% on 2-year remortgages.
Mortgage Expert Insights
To me, this is a clear sign that NatWest is positioning itself aggressively in the market to attract new borrowers and retain existing ones. These rate reductions, particularly in the buy-to-let and green mortgage segments, show a targeted approach to supporting both property investors and environmentally-conscious buyers. We’re already seeing a highly competitive market, and with the Bank of England pausing rate hikes, it’s likely that more lenders will introduce similar cuts in the coming weeks. Borrowers should be prepared to act quickly, as these low rates might not last long if demand surges.
Speak To A Mortgage Broker
We are in a time where mortgage rates are fluctuating a lot. Being on top of rate changes is a priority of ours at Oportfolio. Providing our clients with the latest up to date information, and advising them on the most competitive rates and products for their own circumstances is something that we pride ourselves on. If you or anyone you know is interested in discussing a new mortgage, please feel free to get in touch.
