NatWest is set to introduce a series of rate adjustments to its new business mortgage product range, effective from 22nd August.
For new purchase mortgages, NatWest will implement rate increases of up to 0.12% on selected 2-year deals and up to 0.15% on selected 5-year deals.
First-time buyers will also see similar increases, with rates rising by up to 0.12% on 2-year deals and by up to 0.15% on 5-year options.
In contrast, remortgage products will see a reduction in rates.
NatWest has announced rate decreases of up to 0.05% on selected 2-year deals and up to 0.16% on selected 5-year deals.
High-value remortgages, particularly those with a loan-to-value (LTV) ratio of 60%, will benefit from a rate decrease of 0.12% on 5-year deals.
Additionally, Help to Buy shared equity remortgage products will experience rate reductions of up to 0.05% on selected 2-year deals and up to 0.16% on selected 5-year deals.
For green remortgage products, part of NatWest’s commitment to environmentally friendly initiatives, rates will be lowered by 0.10% on selected 5-year deals.
Nicholas Mendes, mortgage technical manager and head of marketing at John Charcol, said: “NatWest’s recent rate reduction appears to be a swift reaction to HSBC’s repricing today.
“Currently, NatWest’s rate at 3.83% with a £1,495 fee places them in direct competition with Barclays and HSBC among the top deals.
“However, HSBC’s current offer stands out with a 3.84% rate and a lower £999 fee, which could be more appealing to borrowers despite the slightly higher rate compared to NatWest’s 3.83% with a £1,495 fee.
“For those with a Premier account, HSBC’s 3.81% offer is now the best buy, highlighting how having a Premier current account can make a product particularly attractive.
“It will be interesting to see how Barclays and HSBC react or if this latest move by NatWest is intended to align the broker offering with the deals available directly to borrowers through NatWest.”