MPowered Mortgages has announced a significant reduction in their two and three-year fixed mortgage rates, offering relief amidst a volatile market.
- The new rates for purchasing start at 4.21% with 60% loan-to-value, and three-year rates at 4.19%, accompanied by a £999 fee.
- Reductions impact all two-year rates by at least 14 basis points, with some decreasing by as much as 20 basis points.
- The standard variable rate was also cut by 0.75% to 6.74%, aiming to aid both new and existing borrowers.
- CEO Stuart Cheetham advises borrowers to remain cautious, highlighting ongoing market uncertainties despite the rate cuts.
In a market characterised by widespread volatility, MPowered Mortgages has announced a notable reduction in its fixed mortgage rates for two and three-year terms. This move, as stated by Stuart Cheetham, the CEO, positions the lender as a rare entity lowering rates while many competitors are raising theirs. The introduction of these rates provides a potential financial reprieve to both new purchase and remortgage customers amidst a challenging economic landscape.
For those entering into new mortgage agreements, the adjusted rates signify an opportunity for significant savings. The rates begin at 4.21% for two-year fixed agreements at a 60% loan-to-value ratio, alongside a £999 fee. Meanwhile, three-year fixed agreements have been set to start at 4.19%. This structured reduction of 14 to 20 basis points across the majority of two-year deals underscores MPowered’s strategic response to market pressures.
Further aiding their clientele, MPowered Mortgages has not stopped at fixed rates. The lender has adjusted its standard variable rate, cutting it by 0.75% to reach 6.74%, aligning it more competitively with the base rate plus a margin. This adjustment took place shortly before the fixed rate reductions and aims to support both new and existing borrowers in managing potential increases in their monthly mortgage payments.
Even with attractive rate adjustments, the CEO advises borrowers to navigate cautiously. Cheetham emphasised the unpredictable nature of the current financial environment, advising individuals to seek independent advice. Potential headwinds could affect the actual cost of mortgages in the months ahead, leaving the future direction of rates uncertain.
This proactive rate adjustment by MPowered Mortgages offers a cautious optimism amidst market unpredictability, but borrowers should remain informed and vigilant.
