Virgin Money has made several changes to its mortgage product range including increasing its product transfer window and introducing new products.
The lender has increased its product transfer window from four to six months.
It stated that, with this extra flexibility, applications for customers’ new rates can be made "much earlier", up to six months before their current rate matures.
The lender explained this would not change the application process and that product transfer could still be submitted in the same way.
New products
This follows the launch of a new range of mortgage products by Virgin Money affecting its purchase and buy-to-let products.
These new products include 65 per cent LTV 2-year fixed rate which was launched at 5.84 per cent, and a new 75 per cent LTV 2-year fixed rate which was launched at 5.87 per cent.
There is also a new 85 per cent LTV 2-year fixed rate which launched at 6.16 per cent and a 90 per cent LTV 2-year fixed rate at 6.21 per cent.
A similar range was also launched for 5-year fixed rate products, including a 65 per cent LTV 5-year fixed rate at 5.15 per cent.
A 75 per cent LTV 5-year fixed rate was launched at 5.18 per cent, a 85 per cent LTV 5-year fixed rate was launched at 5.37 per cent and a 90 per cent 5-year fixed rate was launched at 5.54 per cent.
Virgin Money also introduced a range of new buy-to-let products, such as a new 60 per cent LTV 2-year fixed rate at 4.87 per cent, and a 75 per cent LTV 2-year fixed rate at 4.92 per cent.
Sub 5 per cent mortgages
In addition, Virgin Money also announced rate reductions, with fixed rates with a £1,295 fee being reduced by up to 0.22 percentage points, starting from 4.97 per cent.
This news was received positively by brokers with Charwin Private Clients director, Ranald Mitchell describing it as “a huge step in the right direction with a prime lender nudging rates below the 5 per cent threshold”.
He added that he expects competitors to follow suit and that it is “only a matter of time, as high street lenders try to make up lost ground in 2023”.
tom.dunstan@ft.com
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