Lenders reintroduce broker-only deals

Published: 04/12/2013

This Monday (2nd December) Santander for Intermediaries and RBS IP launched a new range of products available through mortgage intermediaries including Santander’s market leading two year fixed rate 80 per cent loan-to-value (LTV) at 2.74 per cent with a £995 fee.

Santander also launched two 85 per cent LTV deals; two year and a five year fixed rates at 3.59 per cent and 4.14 per cent respectively. Both deals are available with no fee and all new products including the market leading 2.74 per cent come with a free valuation and £250 cashback.

On the same day the Royal Bank of Scotland Group re-launched its intermediary arm RBS IP, offering 60 – 95 per cent LTV mortgage products.

Lynne McCaffrey, Head of Property, is optimistic about the news:

“As a leading national conveyancer we completely appreciate the role mortgage brokers play in the industry, particularly in explaining the full financial implication of a mortgage rate to a borrower. But with many lenders opting to go direct to borrowers with their ‘best’ deals the mortgage intermediary has essentially been cut out of the transaction. This is not only of great concern to them and their business but could have a dramatic impact on borrowers downstream.

“These new competitive intermediary deals will give clients a more obvious reason to go to a mortgage broker when looking for a new rate and, as a result, borrowers will benefit from sound, professional advice.”

Content correct at time of publication