Kensington Mortgages Announces Rate Cuts and New Options for Buy-to-Let Clients

Kensington Mortgages has introduced significant changes across its product ranges, cutting mortgage rates and unveiling new options for both residential and buy-to-let (BTL) clients.

The company has implemented rate reductions of up to 20bps across selected residential mortgages, encompassing a variety of ranges including Select, Core, Hero, Young Professionals, eKo £1,000 Cashback, eKo £500 Reward, and Property Plus. Notably, within its Select range, Kensington now offers a five-year fixed rate at 5.29%, a three-year fix at 5.49%, and a two-year fixed rate at 5.59%, all up to 75% LTV with a £999 fee. Similarly, for its Hero mortgages, a five-year fixed rate is now set at 5.19% and a two-year fix at 5.49%, both up to 75% LTV with the same fee.

In addition to rate cuts, Kensington is broadening its appeal to residential clients with smaller deposits by introducing no-fee options at 95% LTV. This includes a five-year fixed rate at 7.44% with no fee and free valuation, alongside an alternative 6.94% rate with a £1,299 fee. Three-year and two-year fixed rates also feature similar no-fee, free valuation options at competitive rates.

The company is also making strides in the BTL segment, reducing rates by up to 96bps across selected products, including house of multiple occupancy (HMO) and multi-unit block (MUB) mortgages. New rates for BTL start from 5.19% for a five-year fixed rate, 5.29% for a three-year fix, and 5.59% for a two-year fixed rate, all based on 75% LTV and including a 2% fee, applicable to limited companies as well.

Furthermore, Kensington has launched new special rate BTL products for landlord clients, featuring two- and five-year fixed rates with free valuations. This includes rates such as 4.15% for 70% LTV and 4.54% for 75% LTV for two-year fixed rates, and a five-year fix at 4.49% for 75% LTV, all with a 5% fee. Additional options are available with a 3% fee. For HMO or MUB mortgages, special five-year and two-year fixed rates are also introduced.

Vicki Harris, Chief Commercial Officer at Kensington Mortgages, reflects on these updates: “This latest update to our product range highlights the increasing breadth of Kensington’s offering as we continue to look for ways to cater to the distinct needs of a wider range of borrowers. In combination with our unique approach to criteria development and our sophisticated underwriting capabilities, Kensington’s sustained commitment to product development will help us offer our services to a larger proportion of the market. Through continuing to respond quickly to market needs, such as by reducing rates and introducing no-fee options, we aim to provide greater support for our clients in realizing their goals of property ownership.”