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In contrast, one year ago, average five-year fixed rates at 85percent loan to value were 2.76percent. The interest rate, at 5.49percent, is higher than mainstream five-year fixed deals, reflecting the higher risk of default carried by the lender. According to our broker partner Better, the average rate for five-year fixed rates is 4.30percent. For example, in its remortgage range, the lender has increased its fee-saver five-year fixed rate mortgage at 60percent LTV to 4.49percent – up by 0.24percent. Mortgage lenders continue to withdraw deals and increase rates amid inflation uncertainty, with HSBC and Clydesdale Bank now reviewing their product offerings.
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Its current deals, which include a 5-year 3.99percent fix (the only sub-4percent deal remaining on the market) will be pulled at close of business tonight . All Santander deals for new build purchase can be reserved for up to nine months in advance of completion. Net approvals for remortgage – which relates to remortgaging with a different lender, not transfers with an existing lender – remained stable at 30,885 in January .
