Santander Announces Fixed Rate Mortgage Changes: Increases for Higher LTVs and Reductions for Remortgage & Buy-to-Let

If you’re in the market for a mortgage or remortgage, Santander has announced a new set of fixed rate changes effective from Wednesday 30 July. These changes could directly impact first-time buyers, home movers, those looking to remortgage, and buy-to-let landlords. Here’s what you need to know about Santander’s latest rate updates, plus insights on how they may affect your borrowing plans.

Key Mortgage Rate and Product Updates from Santander

• Residential Home Movers and First-Time Buyers (FTBs): Selected 85–95% Loan-to-Value (LTV) 5-year fixed rates are increasing by up to 0.11% (home movers) and 0.12% (FTBs), including new build options.
• Fixed Rate Reductions:
  • 60–75% LTV 2-year fixed rates for home movers (including new build) are dropping by up to 0.06%.
  • 60–85% LTV 2- and 5-year fixed rates for remortgages are reduced by up to 0.08%.
  • Buy-to-let (BTL) remortgage rates at 60% LTV, 2-year fixed, have been cut by 0.05%.
• Product Transfers: Residential and buy-to-let borrowers benefit from reductions up to 0.08% (residential, 2 and 5-year fixed, 60–85% LTV) and 0.05% (BTL, 2-year fixed, 60% LTV).
• Stable Products: No changes to large loan, BTL purchase, or tracker rates.

How These Changes Affect Borrowers

• First-Time Buyers & High LTV Borrowers: If you’re seeking a 5-year fixed mortgage at a higher LTV (85%–95%), expect slightly higher rates from 30 July. Early application may help secure outgoing rates.
• Home Movers & Those with Larger Deposits (60–75% LTV): The 2-year fixed rates are now more competitive, starting from 3.73% with a £999 fee, representing one of the lower rates in the current UK mortgage market for this segment.
• Remortgagers: Reductions across 2- and 5-year fixed rates (60–85% LTV) provide cost-saving options for those looking to switch to a better deal.
• Buy-to-Let Landlords (Remortgage Only): All 2-year fixed rates at 60% LTV have been cut by 0.05%, supporting investors seeking more competitive remortgage options.

Notable Features and Special Updates

• Product Transfer Flexibility: Customers who haven’t accepted a product transfer offer can still select a new product; if you’ve already accepted a deal (but it hasn’t started), you have up to 14 days before deal commencement to change or cancel.
• Completion Deadlines: Product transfer deadlines have been extended to 5 December 2025, allowing borrowers more time to complete their switched deals.
• Up-to-Date Rates: Santander’s latest rates are available via their website and updated bulletins.

Why Consider a Santander Mortgage?

• Wide Range of Options: Santander’s product suite covers first-time buyers, home movers, remortgagers, and buy-to-let landlords, with tailored products for each.
• Regularly Updated Offers: Santander frequently adjusts rates to remain competitive, often providing early notice of impending changes.
• Online Product Transfer Service: Secure, flexible switching for existing customers helps keep rates in line with market changes.
• Strong Support for New Build Borrowers: Specific products and rate bands for those purchasing new builds.

Conclusion: What Should Borrowers Do Next?

With these new rate increases and reductions, timing is crucial. If you’re seeking a mortgage or remortgage, particularly as a first-time buyer or a landlord, reviewing your options now could save you money. Comparing the latest fixed rates and speaking with a fully qualified UK mortgage adviser will ensure you find the best available deal for your circumstances.

Contact our expert mortgage team today to discuss how these Santander updates may affect you and to receive tailored advice for your property plans.

FAQs – Santander Mortgage Rate Updates July 2025

• Who is affected by Santander’s latest rate changes?
  Borrowers applying after 30 July for high-LTV (85–95%) 5-year fixed mortgages will see increased rates. Home movers, remortgagers, and BTL landlords at lower LTVs benefit from rate reductions.
• How do I secure an outgoing fixed rate before the change?
  Submit your application, or arrange a product transfer, by 10pm on 29 July to secure current rates before the new rates take effect.
• Are product transfers still flexible under these changes?
  Yes. You can change or cancel a pre-booked transfer deal up to 14 days before it begins, offering flexibility for existing Santander borrowers.
• Do these rate changes affect buy-to-let purchases?
  No. The recent rate adjustments are for BTL remortgages only; purchase rates remain unchanged.
• How can I find out if I qualify for these mortgage deals?
  Contact our mortgage advisers for an assessment of your circumstances and eligibility for Santander’s latest products and rates.