Santander is introducing over 50 new mortgages to the market and cutting rates after the Bank Holiday weekend, it announced today.
The mortgage lender said the new deals will include 43 mortgages specifically for new build properties which will be available as two- and five-year fixed rate products for buyers who need to borrow between 60% and 95% loan-to-value (LTV).
Cashback of £250 is being included as part of the new build products from 85% LTV up to 90% LTV for first-time buyers and 95% LTV for home movers.
At the same time, Santander is introducing three-year fixed rate products and reducing interest rates across existing mortgage products including its home mover, first-time buyer, remortgage, buy to let and large loans range.
The new rates and deals will be available from Tuesday 6 May.
Graham Sellar, Head of Santander for Intermediaries, said: “There’s a renewed focus on the new build market spurred on by the government’s ambition to create 1.5 million new homes, in part through new towns.
“We’re pleased to bolster our new build offering, alongside new three-year fixes and broad reaching rate reductions, to support our brokers and customers access more options to help them on their homeownership journey.”
Research from Santander found almost three quarters of potential first-time buyers and more than half (57%) of next-time buyers would consider moving to a new build property in one of the proposed new town sites.
Within the industry, more than four fifths (83%) of mortgage brokers thought the new towns initiative would transform the homeownership market in the next 12 months, according to analysis by Santander.
The brokers quizzed by the Newspage agency, meanwhile, welcomed Santander’s new additions to the mortgage market.
Ranald Mitchell, director at Charwin Mortgages said: “Santander have clearly done their homework and spotted a real opportunity to get money moving in a market that’s been stuck in second gear.
“By launching over 50 new products including a huge push into the new build space, they’re giving buyers and brokers the tools they need to act.
“The combination of competitive rates, cashback incentives and flexible terms like three-year fixes shows they’re serious about unlocking demand and supporting the government’s housing ambitions.
“This isn’t just a product refresh, it’s a strategic play to drive momentum across the mortgage market.”
