TSB has just announced substantial changes to mortgage rates set to take effect on Friday the 5th of January 2024. The news comes as a welcome development for prospective homeowners and existing borrowers looking to secure a more favourable deal this year, in what some people are calling the mortgage rate war! In an email communication received by our brokers at Oportfolio Mortgages today, TSB outlined the key changes that will be implemented, showcasing the bank’s commitment to providing competitive and accessible mortgage options for a wide range of customers.
Changes to Mortgage Rates For Residential Loans
For residential mortgages, TSB is making noteworthy reductions across various categories:
- 2 Year Fixed First Time Buyer, Home Mover, and Remortgage: Rates are set to decrease by up to 0.55%, providing significant cost savings for those looking to enter the property market or make a move.
For Product Transfer Mortgages, TSB is extending its rate reductions to further support existing customers:
- Residential 2 Year Fixed 0-95% LTV: Rates will be reduced by up to 0.45%, offering valuable savings for homeowners considering a product transfer.
Additionally, TSB is extending its rate reductions to Additional Borrowing Mortgages:
- Residential 2 Year Fixed 0-85% LTV: Rates for additional borrowing will see a reduction of up to 0.45%, providing homeowners with an opportunity to access additional funds at a more competitive rate.
The bank is also introducing attractive options for those embarking on their homeownership journey with a particular focus on First Time Buyers:
- Follow-on Tracker for First Time Buyers: All products for First Time Buyers will now revert to a follow-on Tracker lower than the current HVR, aiming to reduce the total amount payable over the lifetime of the mortgage. This move is expected to provide additional assistance to new borrowers, facilitating their entry into the property market.
Mortgage ‘Rate War’ in 2024
TSB’s commitment to offering beneficial and accessible mortgage solutions is always something that they have been known for, and this is evident in these rate reductions. With the Remortgage £995 fee products starting from 4.44%, TSB is not only making homeownership more affordable but also ensuring that existing borrowers have opportunities to optimise their mortgage terms with the help of brokers like Oportfolio.
Over the last first week of 2024, we have seen several big name mortgage lenders significantly reducing their mortgage rates in what some people are starting to call the mortgage ‘rate war’. Although it is probably wishful thinking to assume that rates will drop drastically across the board, it is certainly interesting to see how far lenders will drop their rates before they start to lose their nerve.
Speak To a Mortgage Advisor in 2024
Prospective homebuyers and existing TSB mortgage holders should absolutely be interested in these rate reductions from TSB. The best way to get the ball rolling is to contact our advisors at Oportfolio Mortgages for a free initial mortgage consultation. Call or email our team today to see how we can help you to secure a new mortgage in 2024. We are here to help.
