Santander announces mortgage rate cuts

Date:Thursday 11th February 2010
Author: Susanna Kavka

Santander has announced that it is cutting the cost of its five-year fixed-rate mortgages due to customer demand.

Prospective buyers who are looking for a long-term fixed deal on their loan will now be able to take out a mortgage with the bank for up to 0.25 per cent less than before.

Those interested in the Homebuyers Solution product can receive a rate of 4.99 per cent with a product worth up to 70 per cent loan-to-value (LTV).

For other customers there is the Remortgage solution, which has a LTV of 70 per cent and a rate of 5.15 per cent.

Phil Cliff, mortgage director for Santander, said: "Our research shows that customer demand for longer-term fixed-rates has increased and we have responded by reducing the rates on our five-year fixed deals."

Santander has steadily reduced rates across many of its products in recent weeks, with a 0.4 per cent cut being imposed on fixed loans during January.