NatWest has announced significant rate reductions across its residential and buy-to-let mortgage ranges, with cuts of up to 0.24% taking effect immediately. The banking group’s latest pricing adjustments affect products across multiple loan-to-value ratios, offering borrowers improved NatWest mortgage rates for both purchases and remortgages. These reductions come as lenders continue to adjust their pricing in response to changing market conditions.
According to the bank’s announcement, the cuts apply to fixed-rate products spanning two-year and five-year terms. The reductions affect mortgages for residential purchases, remortgages, buy-to-let investments, and specialized products including first-time buyer and green finance options.
NatWest Mortgage Rates Cut Across Residential Products
In the residential purchase category, two-year fixed rates have been reduced by up to 0.20%. The bank’s 60% loan-to-value products now start from 3.62% with a £1,495 fee, while borrowers can access rates from 3.67% with a £995 fee or 3.91% fee-free.
The most substantial reductions apply to 80% LTV products, which saw cuts of 20 basis points and now start from 3.91%. Additionally, 75% LTV two-year fixes decreased by up to 0.19% and now begin at 3.79%. Higher loan-to-value ratios also benefited, with 85% LTV rates starting from 3.96%, 90% LTV from 4.10%, and 95% LTV products available from 4.61% with no fee.
Five-year fixed rate purchase products experienced smaller adjustments of up to 11 basis points. These longer-term mortgages now start from 3.84% at 60% LTV and range up to 4.24% at 90% LTV, according to NatWest’s updated pricing structure.
Remortgage Range Sees Competitive Pricing
The bank’s remortgage offerings have been adjusted with two-year fixed rates reducing by up to 0.15%. The 60% LTV remortgage rates decreased by 10 basis points to start from 3.68%, while 75% LTV products now begin at 3.85%.
Meanwhile, five-year remortgage rates have decreased by up to 16 basis points, with the most significant reductions applied to 80% LTV products. The lowest five-year remortgage rate available is 3.86% for a 60% LTV product carrying a £1,495 fee.
Buy-to-Let Mortgage Rates Reduced Significantly
Buy-to-let borrowers have access to some of the largest rate cuts, with reductions of up to 0.24% across purchase and remortgage products. Two-year fixed rate purchase mortgages at 60% LTV now start from 3.91% with a £995 fee.
However, the 75% LTV category saw the most dramatic changes, with rates decreasing by up to 0.24% and now starting from 3.30% across various fee structures ranging from £3,999 to fee-free options. Five-year purchase rates reduced by up to 0.14%, beginning at 3.98% for 60% LTV products with a £995 fee.
In contrast, buy-to-let remortgage rates decreased by up to 0.24%, with the largest reduction applying to a 75% LTV product with no fee at 4.36%. Five-year remortgage rates saw more modest cuts of 5 basis points at 60% LTV and 10 basis points at 75% LTV across NatWest’s range of fee options.
Specialized Products Also Benefit
First-time buyer products have been included in the rate reductions, with two-year and five-year remortgage rates decreasing by up to 15 basis points at 85% and 90% LTV. Shared equity rates at 60% and 75% LTV have been reduced by up to 19 basis points.
NatWest’s green finance range also saw adjustments, with residential purchase and remortgage rates reducing by 0.17%. Buy-to-let green finance rates decreased by up to 0.12%, reflecting the bank’s continued commitment to environmentally friendly lending.
The bank has not indicated whether further rate adjustments are planned in the coming weeks. Market observers expect lenders to continue reviewing their pricing as economic conditions and swap rate movements evolve throughout the year.
