Photo by Weekly Mortgage Roundup: Rate Cuts and Shifts in Homeowner Votes
This week, we saw several major lenders announce rate cuts across their mortgage products, while a new survey revealed a significant shift in homeowner votes ahead of the general election.
Paragon Bank Reduces Buy-to-Let Mortgage Rates
Paragon Bank has cut rates by 15 basis points on 10 of its buy-to-let mortgage products, and introduced six new 5-year fixed rate mortgages with no fee and 5% fee options. The new products are available up to 65% loan-to-value (LTV) and include a £750 application fee, with £750 cashback on completion.
Image: A graph showing the new rates
Louisa Sedgwick, mortgages commercial director at Paragon Bank, said: “We’re reducing rates across our core range, as well as introducing some flexible new five-year options to offer landlords more choice.”
Conservatives Lose Nearly Half of Homeowner Votes
A new survey has found that the Conservatives have seen a significant decline in support from homeowners, with recent polling showing a drop from 38% in 2019 to just 19% today. In contrast, Labour is now the preferred party for homeowners with a mortgage, receiving 40% of votes.
Image: A graph showing the shift in homeowner votes
The survey also found that Conservative votes across all tenure types have decreased by 16% since 2019, while Reform has gained 10%.
HSBC Cuts Mortgage Rates Across Multiple Products
HSBC has announced reductions across its range of residential mortgage products, effective from Friday, 5th July. The changes include a new cashback incentive for first-time buyers and increased cashback for energy-efficient homes.
Image: A graph showing the new rates
Nicholas Mendes, mortgage technical manager at John Charcol, said: “HSBC is actively working to strengthen its position in the market.”
Phoebus Software Promotes Adam Oldfield to Managing Director
Adam Oldfield has been promoted to managing director of Phoebus Software, effective from the 1st July 2024. Paul Hunt will transition to become vice chairman of the board of directors.
Image: Adam Oldfield
Oldfield said: “I’d like to thank Paul for the leadership and direction he has provided over the past twenty years. He leaves very big shoes to fill and if I achieve even half of what he has it will be a success.”
Nationwide Warns Customers Who Are Paying ‘Monthly’ Mortgage Payments
Nationwide has warned customers who are paying ‘monthly’ mortgage payments that prices had risen slightly in June amid the impact of higher mortgage costs, with a 0.2% month-on-month increase.
Image: A graph showing the increase in prices
Robert Gardner, the Nationwide chief economist, said: “As a result, housing affordability is still stretched. Today, a borrower earning the average UK income buying a typical first-time buyer property with a 20% deposit would have a monthly mortgage payment equivalent to 37% of take-home pay – well above the long run average of 30%.”
