Halifax offering tracker mortgages

Halifax is to offer tracker mortgages for the first time in four years as demand increases among homebuyers. Halifax now has a two-year deal that charges the Bank of England's base rate (3.5%) plus 0.59 percentage points, so a starting rate of 4.09%. This means monthly repayments on a £250,000 mortgage over a 25-year term would be £1,332, although they could go up as soon as next month if the Bank rate increases. There is a £999 fee and borrowers need at least a 40% deposit to qualify. Meanwhile, those with a 10% deposit can get a two-year deal which tracks base rate plus 1.09 percentage points, giving a starting rate of 4.59%. Currently, the best tracker rate is from Barclays, which is 0.34 percentage points above base rate, giving a total now of 3.84%. On a £250,000 25-year mortgage this would mean monthly repayments of £1,298. 

The Sunday Times (08/01/2023)