Halifax has announced changes to its product range. From August 9, it will offer rate reductions of up to 0.16% on selected products for movers and first-time buyers.
The significance of this is that the lender is now offering a five-year fix for an LTV of up to 60% at 3.99% – joining the ranks of major lenders offering deals below 4%.
Halifax also offers a two-year fixed rate of 4.36% with a £999 up to 60% loan-to-value (LTV) fee.
Commenting on the recent lender price war, Coreco managing director Andrew Montlake said: “Lenders large and small are now starting to cut rates every day. This morning we had a new lender, April Mortgages, cut rates and now we have a major leviathan in the Halifax following suit. All these cuts are really starting to stimulate demand and the outlook for the second half of the year looks promising.”
Seen this week HSBC, Natwest and Barclays are all participating and deals of less than 4% follow National lead late last month.
On August 7, HSBC undercut NatWest and Nationwide to launch the initial lowest rate on the market at 3.92%. Barclays then undercut all three of these lenders with a rate of 3.83%.