Metro Bank launches into limited company BTL with rates from 3.99%

Metro Bank launched its first Limited Company Buy-to-Let product as part of its ongoing efforts to establish itself as a leading specialist lender. The bank’s new products offered a maximum Loan-to-Value (LTV) ratio of 75%, with rates starting at 3.99%. Mortgage interest was calculated based on the lender’s standard buy-to-let stress rates of 125%. To qualify, the company needed to be a non-trading SPV exclusively involved in holding residential properties, without engaging in broader activities.

Reeves moves to relax planning rules and boost housebuilding  

Chancellor Rachel Reeves confirmed that the government had loosened planning restrictions and reintroduced compulsory housebuilding targets aimed at constructing 1.5 million homes over the next five years. Reeves emphasised that local authorities were granted the power to decide housing locations, with a provision for national intervention if councils failed to meet their targets. “So, the answer could not always be no; if the answer was always no, then living standards would continue to decline,” Reeves stated in a speech delivered at the Treasury.

Rayner scraps levelling up ‘slogan’ from department

The Deputy Prime Minister, Angela Rayner, has scrapped the term ‘Levelling Up’ from the department she oversees, dismissing it as a “gimmick.” Rayner announced on X, “No more gimmicks and slogans, but the hard work of governing in the national interest.” She outlined the renaming of her department to the Ministry of Housing, Communities, and Local Government, which was previously known as the Department for Levelling Up, Housing, and Communities in the previous government.

Nationwide cuts purchase, remo rates by up to 30bps  

Nationwide Building Society reduced selected house purchase and remortgage rates by up to 30 basis points, with new rates starting at 4.18%. The updated rates came to market on July 9.

More lenders cut rates including Barclays, Perenna and others

A host of lenders announced rate cuts, including Barclays, Perenna, Hodge, Buy to Let by Foundation, and Spring Finance. Barclays reduced rates across multiple residential products, cutting their five-year fixed-rate purchase mortgage at 75% LTV from 4.57% to 4.24%, with no fee.

Santander updates ‘switch now’ policy for product transfers

On July 9, Santander updated its ‘switch now’ policy, allowing certain mortgage customers with fixed or short-term tracker rates to change or cancel their pre-booked deal up to 14 days before it started. This change aimed to provide customers with greater flexibility in a volatile rate environment, enabling them to switch to a new deal at the same or lower rate if desired.

Pennycook named as housing minister

Matthew Pennycook was confirmed as Labour’s housing minister following Angela Rayner’s appointment as Housing Secretary and Deputy Leader on 5 June. Pennycook secured a significant victory in his Greenwich and Woolwich constituency, surpassing his nearest rival by 18,366 votes. Reflecting on his new role, he expressed, “It is a real honor to have been appointed Minister of State at the Department of Levelling Up, Housing and Communities (DLUHC). Tackling the housing crisis and boosting economic growth is integral to national renewal. Time to get to work.”

Fordham becomes MD for home ownership at NatWest

NatWest appointed Brad Fordham as interim managing director for homebuying and home ownership. Earlier this year, Fordham returned to NatWest from Santander, where he had served as head of mortgages. He took over from Miguel Sard, who had announced his departure in May. With 35 years of experience in the financial services sector, including 14 years in mortgages, Fordham brought a wealth of expertise to his role.

Low-deposit deals hit two-year high: Moneyfacts  

The availability of low-deposit mortgage deals has surged to its highest level in over two years, based on Moneyfacts data. In June, the number of offers at the 95% loan-to-value tier reached 361, marking the highest since May 2022, when deals totaled 369. Overall, the mortgage market saw a month-on-month increase in product choice to 6,658, the most since February 2008, when lenders offered 6,760 deals, as highlighted in Moneyfacts’ June Mortgage Trends Treasury Report.

Barratt reports further slowdown in completed homes

Barratt Developments anticipates a continued decline in home completions this year and next, as indicated in its recent trading update. The company reported 14,004 completions for the 12 months ending June 30, marking a nearly 19% decrease from the previous year’s 17,206. Looking ahead, Barratt forecasts a further reduction in completions to between 13,000 and 13,500 homes for the upcoming year.