Accord Mortgages and ModaMortgages have announced significant rate cuts across various mortgage products, impacting both buy-to-let landlords and residential borrowers. These changes reflect a competitive shift in the mortgage market, providing potential savings for new applicants and existing customers looking to remortgage.
What Are the Key Changes from ModaMortgages?
ModaMortgages has repriced its limited-edition buy-to-let range, leading to rate reductions on both two- and five-year fixed-rate mortgages. For five-year fixed rates at 75% loan-to-value (LTV), rates have decreased, now starting for standard properties. Additionally, five-year rates for 80% LTV standard products have been cut, starting for small Houses in Multiple Occupation (HMOs) and Multi-Unit Freehold Blocks (MUFBs).
In the two-year range, rates at 75% LTV for standard properties and small HMOs/MUFBs have also seen a reduction, with starting rates available. Notably, ModaMortgages continues to offer free valuations and no application fees across its buy-to-let range, which is available to both individual and limited company landlords up to 80% LTV.
How Is Accord Mortgages Adjusting Its Offerings?
Accord Mortgages will implement rate cuts on its residential new business product range starting July 6, 2026. This includes reductions on two-year fixed-rate products and three-year options. For those seeking longer-term stability with five-year fixes, rates have been reduced as well.
Furthermore, Accord is lowering the minimum loan size for selected products at 75% LTV, making it more accessible for borrowers. They have also relaunched products at 65% LTV and at 80% LTV with starting rates available.
What This Means for the Mortgage Market
The recent rate cuts from both lenders provide enhanced options for landlords and residential borrowers alike. For landlords, the reductions in buy-to-let rates, especially at 75% LTV, offer a more affordable pathway to expand their property portfolios. For residential borrowers, the lowered rates and reduced minimum loan sizes present an opportunity to secure better financing terms, particularly for first-time buyers who may have limited deposits.
As the mortgage market continues to evolve, brokers should monitor these changes closely to better assist clients in navigating the available options. With increased flexibility and competitive rates, both landlords and borrowers can benefit from these recent adjustments.
Frequently Asked Questions
What types of mortgages are affected by the rate cuts?
The rate cuts affect both buy-to-let mortgages from ModaMortgages and residential mortgages from Accord Mortgages, including two-year and five-year fixed-rate products.
When do the new rates take effect?
ModaMortgages’ rate cuts are effective immediately, while Accord Mortgages’ changes will take effect from 8am on July 6, 2026.