Kensington Reduces Residential Mortgage Rates: New Deals and Enhanced Criteria for 2025

Latest Kensington Residential Rate Reductions: What UK Borrowers Need to Know

Kensington Mortgages, one of the UK’s established specialist lenders, has just announced significant reductions to its Residential Core mortgage rates—cutting some deals by up to 0.95%.

This move makes home financing more accessible for a wide range of UK homeowners and prospective buyers seeking competitive fixed-rate mortgages.

New Kensington Mortgage Rates: Fixed Rate Offers for 2024

Kensington’s updated range of Core mortgages provides a variety of fixed-rate deals, all carrying a £999 product fee. Here are the latest highlights:

• 75% Loan-to-Value (LTV):
  • 2 Year Fixed: 5.24%
  • 5 Year Fixed: 5.13%
• 85% LTV:
  • 2 Year Fixed: 5.59%
  • 5 Year Fixed: 5.39%
• 90% LTV:
  • 2 Year Fixed: 6.19%
  • 5 Year Fixed: 5.94%

These reductions position Kensington among the more competitive specialist lenders, especially for those with smaller deposits or complex credit histories.

See Kensington’s full product guide here

Criteria Updates: Enhanced Loan Sizes and Credit Flexibility

Kensington has also revised their loan size criteria and credit assessment approach, further opening doors for a broader spectrum of borrowers:

• Maximum Loan Size: Now up to £2 million at 80% LTV for applicants meeting Select criteria.
• Credit Considered:
  • Defaults, secured arrears, and satisfied CCJs accepted if over 24 months old.
  • Unsecured credit issues (max status of 2 in last 12 months) considered if now up to date.
  • Active Debt Management Plans (DMPs) accepted with at least 12 months’ positive payment track record.

This makes Kensington an attractive choice for those with less-than-perfect credit or those needing a higher loan amount.

Special Offers and Unique Benefits with Kensington

• No upfront application fees and no reliance on automated credit scoring.
• Get £1,000 cashback on selected residential products—ideal for covering moving or legal costs.
• An assigned, named underwriter supports applicants from submission to completion, giving a personal touch to complex cases.

For borrowers in Northern Ireland, note that the maximum loan size is £500,000 and the ‘free standard legals’ incentive does not apply.

Who Should Consider Kensington Mortgages?

Kensington’s updated mortgage range offers strong options for:

• Home movers and first-time buyers needing higher LTV products.
• Banks and investors with a complex credit background or past blips.
• Self-employed or non-standard income applicants seeking flexible underwriting.
• Borrowers remortgaging for debt consolidation or home improvements.

If you’ve found it difficult to get approved elsewhere—especially due to credit hiccups or income types—Kensington’s criteria may suit your needs.

Why Choose Kensington for Your UK Mortgage?

• Specialist in flexible criteria for real-life lending situations.
• Personal, case-by-case underwriting—no computer-based blanket decisions.
• New, lower rates—potentially reducing your monthly repayments.
• Attractive cashback options and no upfront application fees.

Speak to a Mortgage Expert

Ready to see if you qualify for Kensington’s new mortgage range? Our expert advisory team can assess if these products fit your profile and help you secure a tailor-made deal. Contact us today for a free, no-obligation chat about your mortgage needs.

Frequently Asked Questions (FAQ)

• Who qualifies for a Kensington mortgage?Prospective buyers or remortgagers with standard or complex income, recent credit issues, or those needing high LTV or large loans may qualify, subject to assessment.
• How do Kensington’s new rate reductions affect my repayments?Lower fixed rates mean potentially lower monthly payments compared to previous Kensington rates. Your individual savings will depend on loan size and LTV.
• Can I get a Kensington mortgage with a DMP?Yes. Kensington will consider applicants with a Debt Management Plan, as long as you have a 12-month positive payment record.
• Is there a cashback incentive?Yes. Select Kensington products offer £1,000 cashback, helping with legal or moving costs for eligible borrowers.
• How can I check if I’m eligible for these rates?Get in touch with our mortgage team for personalised eligibility checks and guidance on next steps. No upfront application fees required.