Trackers move differently, and pricing varies sharply by lender
Family Building Society has also introduced a new range of two-year interest-only tracker products for owner-occupiers, as well as UK and expat Buy to Let landlords, including those borrowing through limited company special purpose vehicles (SPVs). The new owner-occupier tracker is priced at 5.54% at 80% LTV with a £999 product fee.
New Buy to Let tracker pricing, set at 75% LTV with a 1.00% fee, includes 5.34% for UK Landlords, 5.39% for limited company borrowers, and 5.39% for expat landlords, all on two-year terms.
Tracker pricing varies considerably across the market. NatWest has cut its two-year tracker from 4.96% to 4.41%, while the lowest tracker rate currently available is from Halifax at 3.96%, both well below the levels seen in Family Building Society’s new range, though direct comparisons depend on lender criteria, fees and the borrower segment each product targets.
“Brokers have told us that enquiries for tracker products are on the increase,” said Darren Deacon, Head of Intermediary Sales at Family Building Society. “Our new BoE tracker rates give borrowers seeking an interest-only option greater flexibility while they wait for more stable economic and political conditions before committing to a longer-term fixed rate.”
He added that “the UK housing market is facing a period of uncertainty, with confidence among homebuyers and those looking to remortgage affected by events at home and overseas.”