View more on these topics

Mortgage Trust launches new fixed rate range following swaps volatility

Mortgage Trust has launched six buy-to-let fixed rate mortgages two weeks after pulling its entire range due to a spike in swap rates.

The fixed rates include three two-year fixed rates at 3.15 per cent, 3.65 per cent and 3.99 per cent with product fees of 3 per cent, 2 per cent and 1.25 per cent respectively. These deals are for purchase and remortgage customers and include a free valuation.

The remaining fixed rates are for remortgage customers only. They are two-year deals at 3.3 per cent, 3.8 per cent and 4.15 per cent with product fees of 3 per cent, 2 per cent and 1.25 per cent respectively. A free valuation and legals are available.

Mortgage Trust, part of the Paragon Group, has also launched four new trackers. These include two 65 per cent LTV products with no product fee and rates of 3.85 per cent and 3.95 per cent, the latter for remortgage customers only, with a free valuation.

Its sister lender, Paragon Mortgages, which also pulled its fixed rate range last month, it yet to relaunch.

Paragon director of mortgages John Heron says: “We are pleased to launch these new, very competitive buy-to-let products that are suited to landlord customers who are looking to grow their property portfolios.

Due to volatility in the swap markets at the end of June we temporarily removed our fixed rate products. We are now back with a great mix of products, with a range of rates and free valuations available.”

Swap rates, which lenders use to hedge potential interest rate rises and are linked to mortgage pricing, spiked after the US Federal Reserve hinted on 19 June it could wind up its programme of quantitative easing.

Two and five-year swaps jumped 26 basis points and 51 points to 1.01 per cent and 1.85 per cent between 17 and 24 June before falling back to 0.8 per cent and 1.6 per cent on 5 July.


Pensions and retirement planning

What would pensions look like in an independent Scotland? Ian Naismith A ‘Yes’ result in the Scottish independence referendum on 18 September 2014 could have a profound effect on pension provision in Scotland. The Scotland Act 2012 requires the Scottish Government to set an income tax rate from April 2016. Any difference from the rest […]


ifs relaunches complaint handling qualification to cover PPI

The Institute of Financial Services is launching a new adviser qualification to deal with payment protection insurance complaints. The Financial Ombudsman Service has seen complaints rocket in recent years as the PPI misselling scandal has snowballed with tens of billions of pounds worth of compensation paid out. The parliamentary commission on banking standards attacked banks […]

F&C’s Niven halves Japanese overweight

F&C head of multi-asset investment Paul Niven has slashed his overweight to Japan after suspecting the market might have over-reacted to its aggressive stimulus programme. Niven, who runs the £143.4m F&C Managed Growth and £313.8m F&C Diversified Growth fund, has halved his overweight to the world’s third-largest economy on doubts over “what could realistically be […]


Martin Churchill: The benefits of business investment relief

For UK-resident non-domiciled investors who are looking to invest in UK trading companies using offshore income and gains from years in which they were taxed on the remittance basis there has been a little-used tax planning tool since 6 April 2012: business investment relief. Business investment relief is available when remitting foreign income and gains […]

The Great British Break-Off

Despite predictions that a vote to leave the European Union would result in an economic apocalypse, UK equities have shown the market equivalent of a stiff upper lip: bouncing back, keeping calm, and carrying on. Although the road towards Brexit remains clouded in uncertainty, UK equities offer a range of opportunities to investors seeking returns […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm