Woolwich, the lending arm of UK-based Barclays, has announced that it has cut the cost of many of its fixed mortgages in order to enable customers to take advantage of rates below 4% fixed for two, three or four years.
Two-year fix and track mortgages have been reduced from 4.39% to 3.89%, a reduction of 0.5%, while three-year fixed rates have been cut by 0.7% from 4.69% to 3.99%. At the end of the fixed period all fixed rate mortgages revert to a tracker mortgage of 1.49% above base for the remaining life of the mortgage.
Woolwich said that, to support those looking to buy in the current market, it has launched a new range of four-year fixed rate mortgages designed for home purchase. For buyers with a deposit of 20%, the rate will be fixed at 4.99% for four years with the same follow-on rate of 1.49% above base for the remaining life of the mortgage. The rate is fixed at 3.99% for mortgages with a 40% deposit.
Chris Keane, head of mortgage products for Barclays, said: In these uncertain times, many of our customers are looking for some certainty and we have therefore taken the opportunity to reduce the rates on the bulk of our fixed rate range. The one-year fix and track remains the cheapest rate we have ever offered so adding to the range with the two- and three-year fixed rates – both below 4% and both with a very attractive follow-on rate – gives customers a choice of even more keenly priced deals.
