Effective from tomorrow, Tuesday 15th April, Principality Intermediaries is set introduce significant rate reductions across its residential, cashback, and specialist mortgage products.
For residential mortgages, the most notable reductions include up to 0.22% off its 5-year fixed rate products at 65% loan-to-value (LTV), and up to 0.21% off the 5-year fixed rate at 75% LTV.
2- and 3-year fixed rates at 65% and 75% LTV will also see cuts of up to 0.14%.
Other reductions span higher LTV bands, with 2-year fixed rates at 90% LTV set to be reduced by as much as 0.15%.
Cashback residential mortgages will also benefit from rate decreases.
The lender’s 5-year fixed rate at 65% LTV will be reduced by 0.15%, while the same product at 75% LTV will drop by 0.17%.
Notably, Principality’s 2-year fixed cashback deals at 85% and 90% LTV will see cuts of 0.11% and 0.14%, respectively.
Joint Borrower Sole Proprietor (JBSP) mortgage products are also set to benefit from rate decreases.
The lender’s 5-year fixed product at 75% LTV will be 0.21% lower, with other reductions ranging from 0.04% to 0.11% across LTV tiers of 75%, 80%, 85%, and 90%.
In its holiday let range, Principality will decrease its 2-year fixed rate mortgages by 0.15% at 60% LTV and by 0.12% at 75% LTV.
The stress rate applied to affordability calculations for holiday let products will be revised downward, dropping from 8.10% to 7.98%.
While the overall picture is one of reductions, a few select mortgage rates are set to increase,
Among residential new build mortgages, the 5-year fixed rate at 95% LTV will go up by 0.15%.
Shared Ownership mortgages will see the most significant increases, with the 2-year fixed rate at 95% LTV rising by 0.42% and the 5-year fixed equivalent increasing by 0.66%.
