Nationwide Building Society's mortgage lender has announced another wave of interest rate cuts across its line of business products.
The Mortgage Works (TMW) confirmed the rate reduction as many high street lenders react to the Bank of England's recent actions when it comes to the base rate.
Earlier this month, the central bank's Monetary Policy Committee (MPC) narrowly voted to bring the base rate from a 16-year high.
As such, interest rates have fallen from 5.25 per cent to five per cent in a boon for borrowers.
Many banks and building societies have responded to this change by reducing interest rates attached to their mortgage products and savings accounts.
As such, Nationwide's mortgage lender is slashing selected buy-to-let rates for new customers by up to 0.10 percentage points, with rates starting from 3.49 per cent.
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The building society is offering much needed relief for borrowers
NATIONWIDE BUILDING SOCIETYHere are examples of the business buy-to-let interest rates currently on offer from Nationwide Building Society:
- Two-year fixed rate (purchase and remortgage) at 4.64 per cent with a £1,495 fee, available up to 75 per cent LTV (reduced by 0.10 per cent)
- Five-year fixed rate (purchase and remortgage) at 4.29 per cent with a £1,495 fee, available up to 75 per cent LTV (reduced by 0.05 per cent).
- Two-year fixed rate (purchase, remortgage and further advance) at 4.79 per cent with a three per cent fee, available up to 75 per cent LTV (reduced by 0.05 per cent).
A full list of the mortgage rate changes can be found by visiting the building society's website.
Joe Avarne, a senior manager for Buy-to-Let Mortgages at The Mortgage Works, outlined why borrowers need to take advantage of these reduced rates.
He said: "The Mortgage Works is committed to providing landlords and brokers a broad range of options to meet their varying needs.
"These latest reductions continue to make The Mortgage Works one of the most competitive providers of buy-to-let mortgages in the sector with rates starting from 3.49 per cent."
Households have been saddled with soaring monthly mortgage repayments due to the Bank's previous decision to hike the base rate.
These rate increases were a consequence of high inflation with MPC members looking to ease the consumer price index (CPI) rate.
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Earlier this month, the Bank of England voted to cut interest ratesGETTY With inflation falling to the Bank's desired target of two per cent, analysts are pricing in more rate cuts from the Bank of England which could have a knock-on effect on high street lenders.
Nathan Emerson, the CEO of Propertymark, explained: "What the housing market urgently needs is a confidence boost following three years in 2020-23 of economic disruption.
"If inflation continues to fall next month, it would be positive for the Bank of England to use this as an opportunity to cut interest rates further, especially as the recent cut in interest rates spurred some activity in the housing market."