Santander has introduced targeted cuts across its mortgage ranges, with the largest reductions concentrated in higher loan-to-value products, signalling a strategic approach amid market shifts.
Santander has trimmed mortgage pricing across its residential, new-build and buy-to-let ranges, with the sharpest cuts concentrated in higher loan-to-value products, according to Mortgage Solutions.
In the residential home-mover range, the biggest move was 0.2 percentage points. Santander cut its 90% loan-to-value two-year fixed rate with a £1,499 fee and £250 cashback to 4.84%, while the equivalent £999 fee deal fell to 4.89%. The 95% loan-to-value two-year fix with no fee was also lowered by 0.2 points to 5.49%. For first-time buyers, the steepest reductions were on 90% loan-to-value two-year fixes, with the £999 fee product dropping to 4.89% and the fee-free version to 5.14%.
The lender also made smaller adjustments across other parts of the residential market. Its 85% loan-to-value two-year fixed products were cut by 0.24 points, while remortgage pricing saw more modest relief, with the largest reduction limited to 0.11 points. That applied to five-year fixes, including a 60% loan-to-value product with a £1,499 fee, now priced at 4.71%. Two-year remortgage fixes were reduced by as much as 0.1 points. Earlier this year, Santander had already moved rates in several higher loan-to-value categories, including first-time buyer deals, showing a pattern of targeted pricing rather than broad-based cuts.
New-build and buy-to-let borrowers also saw lower rates, although the scale of the reductions was more limited in some areas. On new-build home-mover products, Santander’s largest cut was 0.25 points, applied to 95% loan-to-value 10-year fixes, which now stand at 5.70%. Buy-to-let purchase rates fell by up to 0.13 points, including a 60% loan-to-value two-year fix with a £1,749 fee reduced to 4.57%. Buy-to-let remortgage rates moved by the smallest amount, with all listed changes at 0.05 points. Santander has previously said its mortgage pricing is structured by loan-to-value band, with lower deposits generally attracting more competitive rates, and that self-employed borrowers receive the same rates as employed applicants.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
