MPowered Mortgages has launched a range of 90% loan-to-value (LTV) mortgages and lowered rates across selected fixed rate deals.
The latest offering formed part of MPowered Mortgages’ ongoing expansion of prime residential products to meet the increasingly complex financial needs of buyers due to the rising cost of living.
The lender also lowered prices across selected products in its 2-year and 3-year fixed range, as well as extending its cashback boost offering across its 3-year range.
The 90% LTV products will be available to all brokers in MPowered’s network.
Products are available on loan sizes from £50,000 and include 2-year, 3-year and 5-year fixed rate options.
All applications benefit from a free valuation. For a limited time only, the 90% LTV range will also benefit from £500 cashback for purchases and £1,000 cashback on remortgages as part of MPowered’s current ‘cashback boost’ incentive, subject to a minimum loan size of £200,000.
The lender dropped rates by up to 0.05% across all 3-year fixed rates and selected 2-year rates.
Its 3-year fixed range will also now benefit from enhanced cashback, offering £500 cashback for purchases and £1,000 cashback for remortgages.
The lender also introduced a £0 arrangement fee option on its 3-year range for remortgages.
Emma Hollingworth (pictured), distribution director at MPowered Mortgages, said: “With mortgage rates and the cost of living continuing to rise, getting on the ladder is becoming harder for first-time buyers as finances are being squeezed further.
“In the coming year, there is an expectation that an increasing number of buy-to-let landlords will choose to sell their properties.
“This situation presents pockets of opportunities for first-time buyers to enter the market, as these properties are likely to re-emerge at lower prices.”
She added: “We’re aware of the barriers that both these first-time buyers, and other home movers, are continuing to face when saving for deposits.
“Therefore, we are pleased to expand our prime residential offering with a new range of 90% LTV products, designed to support homebuyers and help them purchase a property that best meets their criteria for space and location.
“At MPowered Mortgages, we harness the power of AI, data-driven science and machine learning to support both brokers and buyers with a wide range of products and efficient service throughout this period of economic volatility.”
Reaction:
Darryl Dhoffer, mortgage expert at The Mortgage Expert:
“It’s great to see one of the challenger banks up there, offering respectable products to borrowers at higher loan to values.
“Let’s hope this trend continues, especially if swap rates continue to edge down as they have in recent days. In the current climate, brokers and borrowers alike will take any bit of good news.”
Ben Tadd, director at Lucra Mortgages:
“Another welcome addition to the range of lenders to choose from for home buyers and first-time buyers alike.
“MPowered is now dipping its toe into the 90% loan-to-value market, looking to take advantage of the expectation that a greater amount of housing stock may well become available in the next 12 months, with more and more landlords looking to offload their portfolio of properties, freeing up some cheaper homes for first-time buyers to get onto the ladder.”
Katy Eatenton, mortgage and protection specialist at Lifetime Wealth Management:
“Yet more positive news in the mortgage market. It’s so nice to only receive positive emails from lenders, which is the trend currently.
“MPowered offer great products and great rates, and it’s fantastic to see lenders fighting for business other than just the big six.”
