MPowered Mortgages has announced a significant rate cut on its 2-year fixed mortgage options, effective today.
- The lender has reduced rates by up to 0.30%, with new purchase rates starting from 4.11% at 60% LTV.
- This reduction comes amid rising swap rates and market nervousness ahead of the Chancellor’s Autumn Budget.
- Borrowers are encouraged to seek independent financial advice due to ongoing mortgage rate volatility.
- This follows a similar reduction in 3-year fixed rates by MPowered Mortgages last week.
In a move aimed at alleviating the pressure on new and existing borrowers, MPowered Mortgages has reduced its 2-year fixed rate options by up to 0.30%, effective as of 5.30pm today. This rate cut brings new purchase customer rates down to 4.11% on a 60% loan-to-value (LTV) with a standard fee of £999. Remortgage clients will see the starting rates decrease to 4.29% under the same LTV terms and fee structure. These adjustments demonstrate the lender’s commitment to providing competitive mortgage solutions in the current economic climate.
The decision to lower these rates occurs as financial markets brace themselves for the upcoming Autumn Budget, which has caused a rise in swap rates, particularly noticeable in the 5- and 10-year tenures. Stuart Cheetham, CEO of MPowered Mortgages, remarked on the economic tension, stating, “Swap rates have continued to rise in the last week, especially in the 5- and 10-year space as the Chancellor’s Autumn Budget draws near and financial markets are nervous. Despite this, we are still reducing our 2-year rates today following on from our 3-year fixed rate reductions last week.”
This proactive measure by MPowered Mortgages to adjust their rates is seen as a strategic response to ongoing economic uncertainties. In tandem with these changes, last Thursday, the lender also reduced its 3-year fixed rates by a similar margin, starting at 3.93%. This coordinated approach underscores the lender’s intent to adapt swiftly to the changing economic landscape, ensuring they remain a competitive option for consumers.
Stuart Cheetham has advised borrowers to seek independent financial guidance, highlighting the volatility in mortgage rates currently affecting the market. This advice comes amidst broader discussions within the financial sector about how best to navigate these unpredictable conditions. His reminder signifies the importance of making informed decisions during times of financial instability.
MPowered Mortgages’ adjustments to its fixed-rate offers reflect a strategic effort to remain competitive amidst rising swap rates and economic uncertainty.
