Return of the trackers!
Tracker rates slipped into the shadows a little bit during the last year, but we have seen HSBC, NatWest, Barclays, Nationwide and Santander all start to include trackers in their product range again. With the Bank of England at 0.1%, it is likely any client opting for a tracker may see an increase during their initial product term, but if the BOE base rate remains low these could be a competitive option!
With NatWest currently offering the lowest tracker at 75% LTV at 0.95% above BOE giving a payable rate of 1.05% in comparison to the fixed rates at 75% LTV starting at 1.07%, the rates may not yet be low enough for clients to take the risk of an increase in base rate, vs the security of the fixed.
Clydesdale offer increased borrowing and reduced rates for professionals
Clydesdale Bank are offering professionals, including newly qualified, up to 5.5 times income along with a reduced interest rate, free valuation and no product fee under their Professional Product range. To qualify for their professional range you must be either an Accountant, Architect, Barrister, Chartered Surveyor, Dentist, Engineer, Financial Adviser, Medical Doctor, Nurse, Optometrist, Pharmacist, Pilot, Police Officer, Solicitor, Teacher or Vet.<
95% mortgages for Joint Borrower Sole Proprietor
Metro have introduced new 2 and 3 year fixed rates at 95% which can be used alongside their Joint Borrower Sole Proprietor (JBSP) policy.
Their JBSP policy currently allows 4 applicants on the mortgage with a minimum of 1 applicant on the property deeds and can use all 4 applicants income to support the mortgage with a maximum age for any applicant at end of the term of 80 years . This may prove really helpful for a FTB who does not yet have the income to support the size of a mortgage they need and want to use parents income on the mortgage but wish to avoid additional stamp duty where parents are not FTB and/or own their own home. Or even children helping their elderly parents whose income has reduced and they now need an additional applicant on the mortgage to remain in their home.
Ask your adviser for more information!
