The specialist lender says the new offers cover its Pepper 48 through to Pepper 24 loans, including Light versions, adding that they suit “almost prime customers”. 

Highlights of the limited edition three-year range include: 

• Pepper 36 Light — 75% loan to value at 7.20%, with a £1,495 fee and free valuation  
• Pepper 48 — 80% LTV at 7.50%, with a £1,495 fee and free valuation 
• Pepper 24 – 85% LTV at 8.20%, with a £1,495 fee and free valuation 

The move from the firm comes as borrowers look for cheaper options as 800,000 fixed-rate deals are due to end in the second half of this year, according to banking trade body UK Finance, with around 1.6 million deals ending in 2024.   

Many of the homebuying market’s core two- and five-year deals were signed at sub-2% mortgage rates, but both the average rates of these terms hover around 6%, as the Bank of England base rate has lifted 14 times since December 2021.  

The current central bank base rate is 5.25%, after it was left on hold for the second time in a row yesterday.  

This has left homeowners continuing to sign higher two-year deals, while hoping that mortgages will ease over the period.   

Other borrowers have sought different options, such as tracker, part-and-part, interest-only periods and three-year loans as interim bets, also hoping that fixed home loan rates fall in the short to medium term.