Virgin Money is making changes to its fixed-rate mortgage products, effective from tonight at 8pm.
- The adjustments include a rate increase across various loan-to-value (LTV) options.
- Products affected range from greener mortgages to those for first-time buyers.
- Core rates will rise by up to 0.20%, impacting predictability in monthly payments.
- Applications must be locked in by 8pm to secure current rates.
Virgin Money announced an imminent adjustment in its fixed-rate mortgage offerings, taking effect from 8pm on Thursday. The changes will influence a broad spectrum of loan-to-value (LTV) ratios, aiming to cater to diverse client needs. This move is indicative of a strategic response to market conditions, necessitating up-to-date offerings in the competitive mortgage landscape.
Of particular note are the increases to the Core 85% LTV 2- and 5-year fixed rates, which will see an uplift of 0.20%, bringing the new starting rate to 4.59%. Similarly, adjustments to the Core 95% LTV 2- and 5-year fixed rates involve a rise of up to 0.10%, now beginning at 5.24%. These changes are especially significant for homebuyers reliant on fixed rates to ensure their monthly payments remain stable and predictable over the mortgage term.
Moreover, special mortgage categories have not been exempt from these increases. The Greener 85% LTV fixed-rate mortgages are set for a 0.20% increase, aligning their new starting rate with the Core products at 4.59%. Meanwhile, the Shared Ownership 85% LTV fixed-rate deals will also increase by 0.20%, resulting in a new starting point of 4.42%. These changes reflect Virgin Money’s commitment to providing environmentally friendly and socially responsible mortgages that remain competitive.
The Own New 85% LTV fixed-rate mortgages, aimed at buyers of newly built homes, will experience a rate rise of 0.20%, setting the new starting rate at 2.06%. This increase underscores the ongoing viability and demand within the market for new housing developments, despite fluctuating interest rates.
For those engaging with products available for both purchase and remortgage, the Retrofit Boost 85% LTV 5-year Fixed Rate mortgage will see a boost of 0.20%, culminating in a new rate of 4.84%. These adjustments underscore the balancing act required in the mortgage sector, as lenders strive to maintain competitiveness while adhering to evolving economic and regulatory standards.
Potential borrowers and brokers have been advised to submit any applications by 8pm today to retain the current mortgage rates before the adjustments come into force. The meticulous timing of these announcements reflects the strategic importance of safeguarding client interests amid shifting economic climates.
Virgin Money’s rate adjustments highlight the need for strategic agility amid ever-evolving market conditions.
