Brokers sceptical of Cleverly’s stamp duty pledge

Mortgage brokers have expressed scepticism over James Cleverly’s pledge to abolish stamp duty if he were to become prime minister. In an article for the Telegraph, the Conservative leadership contender promised to scrap the “perverse” tax, stating, “We were right to cut stamp duty for first-time buyers. But I want our ambition to be to abolish stamp duty for residential properties completely.” Cleverly argued that the tax impedes people from entering the housing market, discourages housing transactions, and slows the construction of new homes.

Barclays and HSBC to cut rates

Barclays reduced rates by up to 20 basis points and relaunched deals yesterday, joining HSBC, which also cut rates but did not specify the amounts. NatWest implemented cuts of up to 19 basis points yesterday. Notable reductions from Barclays included a 20bps decrease for a two-year fixed at 85% LTV with no fee, down from 4.95% to 4.75%; a 13bps drop for a five-year fixed at 75% LTV with a £999 product fee, from 4.20% to 4.07%; and a 10bps reduction for a five-year fixed at 85% LTV with no fee, from 4.55% to 4.45%. Other rates also saw smaller reductions.

HSBC confirms rate cuts by up to 0.35%

HSBC has announced rate cuts on its residential and buy-to-let (BTL) mortgages, including product transfers, remortgages, and first-time buyer products. Reductions of up to 0.16% have been applied to the lender’s two- and five-year fixed residential mortgages for first-time buyers and home movers, and up to 0.35% on BTL mortgages. The lowest rate available is 3.84% for a five-year residential mortgage with a 60% loan-to-value (LTV) ratio.

Rise in ex-rental properties listed for sale before Budget

According to Rightmove data, the proportion of former rental properties entering the sales market has reached a record high. Currently, 18% of properties for sale were previously rentals, up from 8% in 2010. In London, this figure is even higher, with 29% of homes for sale having been rental properties. The previous five-year average for homes transitioning from rental to sales market in Britain was 14%.

Virgin, Halifax, BM, NatWest and Fleet join rate reprice

Virgin Money launched new fixed and switch deals, while BM Solutions, NatWest, and Fleet Mortgages announced rate cuts. Halifax introduced new deals, including some three-year fixed rate options. NatWest’s reductions applied to product transfer rates with bespoke pricing. BM Solutions cut rates by up to 9 basis points on buy-to-let and let-to-buy deals. Fleet Mortgages reduced rates on two- and five-year fixed products across its standard, limited company, houses in multiple occupation, and multi-unit freehold block ranges.

Craig Hall takes up new role at LSL

Accord eases criteria for home loans up to 5x LTI   

Accord Mortgages has reduced the minimum income requirement from £60,000 to £50,000 for customers seeking to borrow more than 4.49 times their loan-to-income ratio. The Yorkshire Building Society’s broker-only unit announced that this change applies to mortgages up to 90% loan-to-value (LTV), including new build houses and flats, where the previous maximum LTV was 85%. This adjustment enables borrowers with a £50,000 household income to borrow up to five times their income, except for the Boost LTI product, which maintains a £60,000 income threshold for borrowing 5.5 times LTI up to 90% LTV. Additionally, the maximum LTV for new build home purchases using the Boost LTI product has been increased from 85% to 90%.

NatWest cuts resi and remo new business rates by up to 19bps  

NatWest has reduced selected new business fixed-rate offers across its purchase and remortgage ranges by up to 19 basis points. The updated rates include a two-year fixed-rate purchase at 60% loan-to-value (LTV) down to 4.40% with no product fee, and a two-year fixed-rate remortgage at 80% LTV down to 4.85% with a £1,495 product fee and £250 cashback. For first-time buyers, the two-year fixed-rate purchase at 85% LTV is now 4.92% with no product fee and £250 cashback. The Help to Buy: Shared Equity two-year fixed-rate remortgage at 75% LTV is reduced to 4.95% with no product fee and £500 cashback. Additionally, the end date for two-year terms has been extended from 30 November 2026 to 31 December 2026.

Principality BS launches limited edition higher LTI product for FTBs  

Principality Building Society has introduced a limited-edition higher loan-to-income product for first-time buyers, available exclusively through brokers. This deal allows customers to borrow up to 5.5 times their income on standard five-year fixed-rate residential mortgages. Key details include: employment income only, a minimum individual income of £30,000 or £50,000 combined, and acceptance of 100% second income and overtime. Helen Lewis, national intermediary manager at Principality Building Society, stated, “Our FTB research shows that this group is diverse, with varying stages of life, family support, and financial confidence. This enhanced loan-to-income offering is part of a broader range of solutions we’ll be showcasing over the next three months to support first-time buyers.”

Landlords worried about inflation, energy bills and EPCs

More than three-quarters of landlords are concerned about rising costs due to inflation, while 71% are worried about energy prices, according to a survey by bridging broker Finbri. This concern follows the recent government mandate that all rental properties must achieve an Energy Performance Certificate (EPC) rating of Band C by 2030. Landlords face substantial costs to meet this target, with upgrading to a C rating estimated to average £10,000. Inflation has further exacerbated the situation by increasing the cost of building work and materials, making property retrofits more expensive.