Yorkshire Building Society (YBS) has announced it will be making price reductions on a number of its long-term mortgage products.
The ten-year mortgage at 75 per cent loan-to-value has been cut to a new low of 3.89 per cent and there will also be a new five-year mortgage at 2.44 per cent, according to the Financial Times Adviser.
TBS will also introduce a new two-year mortgage at 1.69 per cent that will launch with a £1,345 up-front fee.
Reductions at the building society are thought to have been spurred by action from competitors including Santander, which started an 80 per cent five-year fixed-rate mortgage with a 3.74 per cent rate.
Brendan Gilligan, product manager of Yorkshire Building Society, said: “We have witnessed a real demand for longer term mortgages and are confident that these latest rate cuts will be welcome news to the mortgage market.”
Melanie Tringham of Financial Times Adviser commented that, while the rates are competitive, the real question is how good the customer service will be.
