Pepper Money has cut high loan-to-value rates by up to 80 basis points and Darlington has lowered rates by up to 20bps in the latest lender price reductions.

Pepper’s 48 and 48 Light two-year rates at 90% LTV have come down by up to 80bps to 6.99% and 6.94% respectively.

The five-year equivalents have dropped by up to 32bps.

It has also launched some limited edition dual-rate two-year deals.

These provide the option for a lower initial rate and a higher reversion rate, which maximises borrowing power at the point of application.

Alternatively borrowers can opt for a higher initial rate and a lower reversion rate, which reduces the ongoing cost once the fixed period ends.

Pepper has also made some price cuts on buy-to-let deals, which now start from 4.64%.

Following the reprice residential rates now start from 5.75%.

Meanwhile, at Darlington Building Society, a residential two-year fixed-rate at 80% LTV has been cut by 20bps to 5.09%.

A shared ownership two-year fixed-rate has fallen 10bps to 5.79%.

Pepper Money sales director Paul Adams says: “Affordability is still one of the biggest challenges brokers are navigating for their customers, especially when rates are moving as quickly as they have been.

“Often, two-year affordability can be difficult to make work.

“But at the same time, a lot of customers don’t want to lock in for longer when they’re unsure where rates will go.

“The new limited edition products give brokers a way to structure cases that work for the customer today and doesn’t leave them worse off when they come to revert.

“The reductions across our Pepper 48 and Pepper 48 Light ranges reflect our continued focus on giving brokers more choice.

“These are products for customers who are one step away from the high street, and the right rate can make a real difference to whether a case gets done.”

Darlington head of mortgage distribution Chris Blewitt adds: “One of the biggest challenges for brokers at the moment isn’t necessarily finding a mortgage, it’s finding a mortgage that genuinely fits the client’s circumstances.

“We regularly see cases involving first-time landlords, borrowers on visas, holiday let operators and clients looking to remortgage a former residential property into the buy-to-let market.

“None of these are particularly unusual scenarios, but they can still sit outside the comfort zone of some lenders.

“On cases like these, criteria is just as important as rate.

“Brokers need lenders that can look at the full picture rather than at a rate that’s competitive, which is why we’ve continued to focus on both pricing and flexibility across the range.”