Mortgage rates set to drop with new cuts

There's some good news on the horizon if you're looking at buying your new home in 2024. Two major lenders have announced today that they are planning to make significant rate cuts to help make it easier for people to get on the property ladder.

Barclays will be cutting rates by 0.5% and launching a 2 year fixed mortgage at 4.17% for anyone with a 60% LTV – this is down from 4.62% previously (includes fee of £899).

Santander is planning on cutting select rates for their mortgage deals to lower than 4% this week. It will also be launching a 5 year fixed rate loan at 3.89% (including a £999 fee) for anyone remortgaging and 3.94% for first time buyers with a 40% deposit.

This is following a trend of providers with HSBC and Halifax making amendments to their own rates last week. Halifax cut the rates on a variety of product by as high as 0.92% while HSBC announced a fixed rate remortgage offer of 3.94%.

Mark Harris, chief executive of mortgage broker SPF Private Clients, said: "Increased competitiveness among lenders leads to lower mortgage rates and we find ourselves in the midst of a price war. With HSBC launching the headline-grabbing 3.94% five-year fix and reductions from Halifax, NatWest, TSB and other lenders, the gloves really are off."

With lenders offering competitive rates and the housing market improving across the country, some brokers are predicting this will have a catalyst effect on the mortgage market which may see a 'sub 3%' rate by the end of 2024.

If you're interested in buying your new home with Foreman Homes, we have a variety of schemes available to help support you in your purchase and make it as simple and pain free as possible.

Give our Sales Team a call today to find out how we can help make your dream home a reality.