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Tag: Residential Mortgages

Accord and ModaMortgages Cut Rates in Mortgage Market
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Accord Mortgages and ModaMortgages have announced significant rate cuts across their product ranges, impacting both buy-to-let and residential borrowers. These reductions offer new opportunities for landlords and homebuyers, enhancing affordability in a competitive mortgage market.

TL;DR: ModaMortgages has reduced rates on its buy-to-let range; Accord Mortgages is cutting rates on residential products and lowering minimum loan sizes, effective July 6, 2026.

What Changes Has ModaMortgages Made in the Mortgage Market?

ModaMortgages has repriced its limited-edition buy-to-let offerings, implementing reductions on both two- and five-year fixed-rate mortgages. The five-year fixed rates at 75% loan-to-value (LTV) have been lowered, now starting for standard properties. For small Houses in Multiple Occupation (HMOs) and Multi-Unit Freehold Blocks (MUFBs), rates have also been adjusted.

In the two-year fixed-rate range, rates at 75% LTV have also seen a reduction for both standard properties and small HMOs and MUFBs. Importantly, ModaMortgages continues to offer free valuations and no application fees for these limited-edition buy-to-let products, catering to individual and limited company landlords up to 80% LTV.

How Is Accord Mortgages Responding in the Mortgage Market?

Accord Mortgages is set to refresh its residential new business product range, effective from July 6, 2026. This includes rate reductions on two-year fixed products and three-year rates. For those opting for longer-term stability with five-year fixes, rates will also be reduced.

Additionally, Accord is lowering the minimum loan size for selected products at 75% LTV, making it more accessible for borrowers. The lender has also relaunched products at 65% LTV and at 80% LTV, providing more options for homebuyers. This move is particularly beneficial for first-time buyers and those with smaller deposits.

What This Means for Landlords and Borrowers

The recent rate cuts from both lenders present a significant opportunity for landlords and homebuyers. For landlords, the reductions in buy-to-let rates from ModaMortgages enhance the potential for better cash flow and investment returns. The flexibility offered by the lower rates at 75% LTV allows brokers to find more suitable products for their clients.

For residential borrowers, Accord’s changes mean more competitive options are available, particularly for those with smaller deposits. The reduced minimum loan sizes could encourage more first-time buyers to enter the market, which may stimulate demand in the housing sector.

Frequently Asked Questions

What are the new rates for buy-to-let mortgages?

ModaMortgages has reduced rates for five-year fixed buy-to-let mortgages for standard properties and small HMOs and MUFBs.

When do the changes by Accord Mortgages take effect?

The rate cuts and changes to minimum loan sizes at Accord Mortgages will be effective from July 6, 2026.
July 4, 2026
Buy-to-Let Mortgages: HSBC, Kensington, and Principality Rate Cuts
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Major lenders HSBC, Kensington, and Principality have announced significant reductions in mortgage rates, a move that could benefit landlords and residential borrowers alike. These changes reflect a competitive lending environment, offering potential savings for those looking to secure buy-to-let mortgages and other residential products.

TL;DR: HSBC has reduced rates by up to 10 basis points, Kensington by up to 25bps, and Principality will lower rates by up to 50bps; landlords and borrowers can benefit from these competitive offerings.

What are the specific rate changes for buy-to-let mortgages?

HSBC has made notable cuts, reducing rates by up to 10 basis points. For example, its two-year fixed rate for purchases at 85% loan-to-value (LTV) is now 4.77%, with £250 cashback, increasing to £600 for energy-efficient homes. Additionally, five-year fixed rates at 80% LTV will see a drop of up to 50bps, while rates at 85% LTV will decrease by up to 46bps. For residential borrowers, two-year fixed products at both 80% and 85% LTV are set to drop by up to 44bps.

How is Kensington adjusting its buy-to-let mortgage rates?

Kensington has also announced rate cuts across its buy-to-let range, affecting Prime, Prime eKo, core, houses in multiple occupation (HMOs), and multi-unit blocks (MUBs). The lender’s two-year fixed rates at 75% LTV now start from 3.49% with a 5% fee. Alternative options are available starting from 4.14% with a 3% fee and 5.63% with no fee. For five-year fixed rates at 75% LTV, rates now begin at 4.59% with a 5% fee, with various options available up to 5.34% with no fee.

What does this mean for landlords and borrowers?

The recent rate reductions from these lenders are significant for landlords seeking to invest in buy-to-let properties. With Kensington’s focus on competitive pricing and specialist expertise, brokers can expect a more attractive lending environment. The reductions not only lower the cost of borrowing but also enhance the potential for landlords to expand their portfolios. Borrowers looking for residential mortgages can also take advantage of the lower rates, making homeownership more accessible.

What should borrowers and brokers watch next in buy-to-let mortgages?

As these lenders adjust their rates, it is essential for borrowers and brokers to stay informed about further changes in the mortgage market. Monitoring rate trends and lender offerings will be important, especially as competition among lenders may lead to additional reductions. Additionally, borrowers should evaluate their current mortgage options to see if refinancing could yield savings.

Frequently asked questions

What types of mortgages are affected by these rate cuts?

The rate cuts primarily affect buy-to-let mortgages and residential products, including two-year and five-year fixed rates at various LTVs from HSBC, Kensington, and Principality.

How can I find the best buy-to-let mortgage rates?

To find the best buy-to-let mortgage rates, consider using comparison tools, consulting with mortgage brokers, and reviewing lender offerings regularly to ensure you secure the most competitive rates available. You can also check the buy-to-let mortgage rates on our site for the latest updates.
June 23, 2026
HSBC, Kensington, and Principality Cut Buy-to-Let Mortgages
In this article:
HSBC, Kensington, and Principality have announced significant reductions in mortgage rates, impacting both residential and buy-to-let borrowers. These changes may provide opportunities for landlords and investors looking to secure more competitive financing options.

TL;DR: HSBC has reduced rates, Kensington has made cuts, and Principality will lower rates; these changes primarily affect buy-to-let mortgages and residential loans, offering potential savings for borrowers.

What Rate Changes Are Being Implemented?

HSBC has announced a reduction in its mortgage rates, with the most significant cut being on a two-year fixed mortgage for purchases at 85% loan-to-value (LTV), which now includes a cashback offer for energy-efficient homes. Additionally, five-year fixed rates at various LTVs will decrease. For residential borrowers, two-year fixed rates at both 80% and 85% LTV will also see reductions.

How Are Kensington’s Rates Changing?

Kensington has made notable cuts across its buy-to-let range, which includes various products such as Prime, Prime eKo, core, houses in multiple occupation (HMOs), and multi-unit blocks (MUBs). The two-year fixed rates in the Prime range are now available with different fee structures. Kensington’s Prime eKo products, designed for energy-efficient homes with specific EPC ratings, are priced lower than equivalent Prime products.

What This Means for Buy-to-Let Mortgages

The recent rate cuts from HSBC and Kensington present a valuable opportunity for landlords and property investors. With lower borrowing costs, landlords can improve their cash flow or reinvest in their properties. For residential borrowers, these reductions may facilitate home purchases or remortgaging at more favorable terms. Brokers should monitor these changes closely, as they can enhance their clients’ financing options significantly. The competitive market is likely to continue evolving, so staying informed about further adjustments will be important for all stakeholders.

Frequently Asked Questions

What types of mortgages are affected by these rate cuts?

The rate cuts primarily affect buy-to-let mortgages and residential loans, including two-year and five-year fixed rates at various LTVs.

How can I take advantage of these lower rates?

Landlords and borrowers should consider reviewing their current mortgage arrangements and consult with brokers to explore the best options available under the new rates.
June 23, 2026
Kensington Reduces Mortgage Rates in Competitive Market
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Kensington has announced a reduction in mortgage rates by up to 25 basis points, a move that reflects a broader trend among lenders to adjust pricing in the current mortgage market. This change is significant for both prospective homebuyers and existing homeowners looking to remortgage, as it may lead to more competitive borrowing options.

TL;DR: Kensington cuts mortgage rates by up to 25bps, impacting residential and buy-to-let borrowers; April and TML also reduce rates, enhancing market competition.

How Do the Rate Cuts Affect Borrowers?

Kensington’s rate reductions primarily target its residential mortgage range, with Resi Select rates dropping by up to 25bps across various fee structures and loan-to-value (LTV) ratios. For buy-to-let investors, selected 75% LTV rates on Prime, Prime eKo, and Core products have also seen reductions. April Mortgages will implement lower rates for five, ten, and 15-year fixed mortgages starting tomorrow, making it an opportune time for borrowers to explore remortgaging options.

What Should Landlords Know About the Changes?

Landlords can benefit from TML’s recent rate trims of up to 15bps on buy-to-let deals, which include properties such as houses in multiple occupation. TML has also introduced limited edition products with competitive two-year fixed rates starting at 3.79%. Additionally, Rely has lowered the minimum loan size for its buy-to-let offerings to £25,001, potentially opening doors for smaller investors.

What This Means for the Mortgage Market

The recent rate cuts signal a shift in the mortgage market, indicating increased competition among lenders. Borrowers should keep an eye on upcoming offers from various lenders, as these adjustments may lead to more favourable terms and lower monthly payments. With the current climate, it’s advisable for both homebuyers and landlords to assess their options and consider refinancing or purchasing new properties.

Frequently asked questions

What types of mortgages are affected by the rate cuts?

The rate cuts apply to residential mortgages, buy-to-let products, and specific fixed-rate deals from lenders like Kensington and TML.

How can I take advantage of these new rates?

Borrowers should compare current mortgage rates and consider remortgaging or purchasing new properties to benefit from the reduced rates.
June 16, 2026
Mortgage Market Sees Drop in Searches in May 2026
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The UK mortgage market experienced a notable decline in search activity in May 2026, with overall searches falling year-on-year. This downturn highlights a shift towards a more cautious approach among borrowers and investors, as residential and buy-to-let searches also decreased significantly.

TL;DR: Mortgage searches dropped year-on-year in May 2026, affecting potential buyers and landlords; residential searches decreased, indicating a cautious market shift.

What caused the decline in mortgage market searches?

The data from Twenty7tec indicates that mortgage searches fell month-on-month in May 2026, suggesting a cooling off after a period of heightened activity earlier in the year. Residential mortgage searches saw a significant decrease compared to the same month last year. This decline can be attributed to rising economic uncertainty and changing borrower sentiment.

How do residential and buy-to-let searches compare in the mortgage market?

Residential remortgage searches saw a significant drop year-on-year. Meanwhile, searches for purchasing residential properties also decreased. First-time buyer activity was particularly affected, with searches falling notably. In the buy-to-let sector, searches decreased year-on-year, with buy-to-let purchase mortgage searches declining sharply compared to the previous year.

What this means for borrowers and landlords in the mortgage market

For potential buyers and landlords, the drop in mortgage searches signals a more cautious environment in the mortgage market. First-time buyers may find it increasingly challenging to enter the market, while landlords could face a tougher market for securing financing. However, despite the reduced search activity, mortgage product availability increased in May, which could provide new opportunities for those looking to remortgage or invest.

Frequently asked questions

Why have mortgage searches decreased?

The decrease in mortgage searches is attributed to rising economic uncertainty and a shift in borrower sentiment, leading to a more cautious approach among potential buyers and investors.

What should I watch for in the mortgage market?

Monitor the trends in mortgage product availability and interest rates, as these factors will significantly impact borrowing conditions and opportunities for both residential and buy-to-let investors.
June 7, 2026
Mortgage Market Sees 15% Decline in Search Activity
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The UK mortgage market is experiencing a notable slowdown, with mortgage searches dropping by 15% in May compared to the previous month. This decline reflects a cautious approach from borrowers amid changing market conditions.

TL;DR: Mortgage searches fell by 15% in May, with residential searches down 16% year-on-year; this trend impacts borrowers and landlords as they navigate a shifting market.

What are the latest trends in the mortgage market?

According to recent data, there were 1,590,911 searches on mortgage platforms in May, marking a 7% decrease from April. Residential searches accounted for 1,341,508, which is a 7% drop month-on-month and a significant 16% decline compared to the same time last year. Notably, purchase searches fell by 5% to 626,029, while first-time buyer searches decreased by 4% to 152,355. The most pronounced decline was in remortgage activity, which dropped 9% from April to 563,124 searches, representing a 21% fall year-on-year.

Why are borrowers holding back in the mortgage market?

The data suggests that heightened activity earlier in the year has given way to a more cautious phase in the mortgage market. Factors influencing this shift may include rising interest rates, economic uncertainty, and changing lender criteria. As borrowers reassess their financial situations, the decline in remortgage searches indicates that many are choosing to stay put rather than switch products.

What this means for landlords and investors in the mortgage market

Landlords and property investors may find the current market conditions challenging. The 9% drop in buy-to-let (BTL) mortgage searches, coupled with a 22% year-on-year decline in purchase searches, suggests that potential investors are becoming more hesitant. However, the increase in available mortgage products indicates that lenders are adapting to these changing dynamics, potentially offering more tailored options for those willing to navigate the complexities of the current market. For more insights, consider checking current mortgage rates.

Frequently asked questions

How can I stay informed about mortgage market changes?

Regularly check mortgage platforms and financial news for updates on search trends and product availability, as these factors can significantly impact your borrowing options.

What should I consider before applying for a mortgage now?

Evaluate your financial situation carefully and consider consulting a mortgage advisor to understand the best options available in the current market climate.
June 6, 2026
Mortgage Searches Decline: Impact on Buy-to-Let Mortgages
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Recent data reveals a significant decline in mortgage searches, with a drop impacting both residential and buy-to-let mortgage sectors. This trend indicates a cautious approach from borrowers amid changing market conditions.

TL;DR: Mortgage searches fell significantly, affecting landlords and potential buyers; first-time buyer searches also dropped, signalling a slowdown in market activity.

What are the current trends in mortgage searches?

According to data from Twenty7tec, mortgage searches totalled approximately 1.59 million in May, which is lower than the previous month. Residential searches accounted for a significant portion, reflecting a decrease from last year. Specifically, searches for residential remortgages fell, while those looking to purchase a residential property decreased.

How are buy-to-let mortgages affected?

Buy-to-let mortgage searches also experienced a decline, with a notable drop year on year. Searches for buy-to-let purchase mortgages decreased significantly compared to last year, while buy-to-let remortgage searches were down as well. This decline suggests that landlords may be reassessing their investment strategies in light of current market conditions.

What does this mean for landlords and investors?

The decrease in mortgage searches indicates a more cautious market, which could lead to fewer transactions and a slowdown in property investment activity. Landlords may find it increasingly challenging to secure financing for new purchases, especially first-time buyers and those looking to expand their portfolios. However, it is worth noting that despite the drop in search activity, the availability of mortgage products increased in May, offering potential opportunities for those still looking to invest.

Frequently asked questions

Why are mortgage searches declining?

The decline in mortgage searches can be attributed to a more cautious approach from borrowers amid changing economic conditions and rising interest rates, leading to decreased confidence in the property market.

What should landlords do in this market?

Landlords should closely monitor market trends and consider their financing options, as the decrease in searches may signal a shift in investment opportunities. Staying informed about mortgage product availability can help in making strategic decisions.
June 6, 2026
Protecting Your Property in Winter: Implications for UK Mortgage Holders in 2026
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As we approach the colder months, homeowners are reminded of the importance of protecting their properties. In 2024, over 8,000 frozen-pipe claims were made, costing an average of £33,000 each. Additionally, a recent analysis of Financial Conduct Authority (FCA) data reveals that 56% of home insurance policies don’t clearly define flooding, and 32% don’t define what counts as a storm. This article will delve into these statistics and their implications for homeowners with residential mortgages.

Understanding the Risks and Costs

Frozen-Pipe Claims

In 2024, homeowners made over 8,000 frozen-pipe claims, with each claim costing an average of £33,000. This significant cost underscores the importance of taking preventative measures during the winter months. For instance, a first-time buyer with a £250,000 repayment mortgage at 90% LTV, paying a monthly amount of £1,432, could see their monthly payments increase by nearly £250 if they had to cover such a claim. This is a significant increase, especially considering that the Bank of England base rate has risen to 3.75% as of April 2026, up from 3.25% a year ago.

Insurance Policy Definitions

According to the FCA data, 56% of home insurance policies do not clearly define flooding, and 32% do not define what counts as a storm. This lack of clarity can cause confusion and potential financial loss for homeowners. For example, a homeowner with a £200,000 mortgage at 75% LTV, paying £1,200 monthly, could face significant out-of-pocket expenses if their property is damaged by a storm or flood and their insurance does not cover it. This is a situation that remortgagers, in particular, need to be aware of, as they may have more equity at risk.

Energy Efficiency and Mortgage Options

Improving Energy Performance Certificate (EPC) Rating

Improving a home’s EPC rating can not only reduce carbon emissions but also unlock better mortgage options. HSBC, awarded Best Green Mortgage Lender at this year’s Your Mortgage Awards, offers up to £1,500 cashback for energy-efficient homes. This incentive could significantly reduce mortgage costs for homeowners who invest in energy efficiency. For instance, a landlord with a £200,000 interest-only buy-to-let mortgage, paying £917 monthly, could see their monthly payments drop by around £50 with the cashback offer, assuming they meet the energy efficiency criteria.

Attracting Future Buyers

Well-maintained homes are more attractive to buyers and better maintain their value. This can open up more competitive mortgages for homeowners. For example, a homeowner with a £300,000 property at 80% LTV, paying £1,650 per month, could see their monthly payments decrease by £50 or more if they qualify for a lower interest rate due to their home’s high EPC rating and overall condition. This is particularly relevant in the current market, where property prices have risen by an average of 2.5% over the past 12 months, according to ONS data.

Frequently Asked Questions

What are the risks of not protecting my home in winter?

Failure to protect your home in winter can lead to costly damages. In 2024, homeowners made over 8,000 frozen-pipe claims with an average cost of £33,000 each.

How does my home’s EPC rating affect my mortgage options?

A higher EPC rating can unlock better mortgage options. Some lenders, like HSBC, offer incentives such as up to £1,500 cashback for energy-efficient homes.

How can I ensure my insurance policy covers winter damages?

It’s crucial to understand your policy’s definitions of flooding and storms, as 56% and 32% of policies respectively don’t clearly define these terms. Always clarify these details with your insurer.

How does maintaining my home’s value affect my mortgage?

Maintaining your home’s value can open up more competitive mortgages. For example, a homeowner with a £300,000 property at 80% LTV could see their monthly payments decrease by £50 or more with a lower interest rate.
April 30, 2026