NatWest and Halifax cut mortgage costs

NatWest and Halifax have reduced some two- and five-year mortgage rates. The article also reports cashback offers and lenders expanding borrowing options amid ongoing affordability pressures.

NatWest and Halifax have announced lower mortgage pricing and lenders across the market are rolling out incentives and lending changes. The moves come as borrowing costs have eased slightly from recent highs but affordability remains a concern for many buyers. Some lenders are adding cashback offers and new product types aimed at reducing upfront costs for purchasers. Brokers say the changes could spur fresh competition among high-street banks. Key details: - NatWest is offering a two-year fixed rate of 3.51% with a £1,495 product fee (down from 3.57%) and a cheapest five-year fixed rate of 3.70% (down from 3.74%); both deals are reported to require a 40% deposit to qualify. - Halifax is reported to offer a two-year fixed rate at 3.72% (60% loan-to-value), cheaper than the prior 3.74%. - The article reports a cashback offer of up to £2,000 intended to ease upfront moving and deposit costs. - Barclays has launched 95% loan-to-value mortgages for new-build houses up to £600,000 and described a "Mortgage Boost" option that can raise borrowing eligibility by including a second applicant's income on the application. - Nationwide is reported to offer a two-year fix at 3.72% and a five-year fix at 4.06% for first-time buyers (both with a £999 fee and 40% deposit requirement), a £500 cashback on completion, and an expansion of high loan-to-income lending to up to six times income for eligible applicants with stated minimum income thresholds. - Santander is reported to have withdrawn some 60% LTV products for smaller first-time buyer loans and still offers other products; the article notes varied lender moves across different LTV and borrower groups. Summary: Lenders have trimmed some fixed mortgage rates and introduced incentives such as cashback and higher borrowing allowances, which may reduce certain upfront costs for borrowers who meet product criteria. Undetermined at this time.