Kensington Mortgages has lowered rates on its eKo mortgages and across its wider residential and buy-to-let ranges.
Kensington has replaced its £500 cashback proposition for residential and buy-to-let clients purchasing or remortgaging an energy efficient property with reduced rates for selected eKo products. The new rates are 5bps lower than the standard rate.
Kensington’s new residential eKo rates include two-year fixed rates from 5.24% at 85% LTV at 5.61% at 90% LTV, with five-year fixes from 5.29% and 5.67% respectively. All include a £1,499 fee and free valuation. For residential clients, Kensington has also raised the maximum loan size from £500,000 to £1m up to 90% LTV and £1.5m up to 85% LTV.
Kensington’s new buy-to-let eKo rates – all at 75% LTV with a free valuation – include two-year fixed rates at 4.74% with a £1,499 fee, 4.51% with a £4,000 fee, 3.69% with a 3% fee, and 5.18% with no fee. Kensington has also introduced five-year fixed rates at 4.82% with a £1,499 fee, 4.67% with a £4,000 fee, 4.27% with a 3% fee, and 4.94% with no fee. The maximum loan size for Kensington’s buy-to-let eKo mortgages has also been increased to £750,000, up from £500,000.
To be eligible for Kensington’s eKo range, residential clients must be purchasing or remortgaging a property rated as A or B for energy efficiency, while buy-to-let clients need to be purchasing or remortgaging a property rated as A, B, or C. For new build properties the Predicted Energy Assessment (PEA) can be used as evidence.
Changes to residential and buy-to-let rates
Kensington has also lowered rates across its broader range of residential and buy-to-let products.
Kensington’s residential products benefit from reductions of up to 7bps across two and five-year fixed rates for its Select, Heroes, Professional, and Own New mortgages. Reductions have been implemented across selected rates and fee options up to 85% LTV. Residential 75% LTV two-year fixed rates now start from 4.79% with a £1,999 fee, and five-year fixed rates from 5.01% with a £1,499 fee.
In addition, Kensington has introduced reductions of up to 10bps across its two and five-year fixed rate buy-to-let prime and core products, with cuts across selected rates and fee options up to 80% LTV. Notable changes include 75% LTV two-year fixed rates at 5.23% with no fee and 4.56% with a £4,000 fee as well as its 75% LTV five-year fixed rates at 4.72% with a £4,000 fee and 4.87% with a £1,499 fee. Kensington also continues to offer free valuations across all its buy-to-let products.
Andy Bickers, commercial director at Kensington Mortgages, commented: “We regularly engage with our broker partners to ensure our propositions are aligned with what matters most to their clients. Feedback told us that, particularly in the current market, lower rates would deliver greater long-term value than cashback, which is why we’ve refreshed our eKo range with reduced pricing across selected products.
“Alongside these changes, we’ve also taken the opportunity to lower rates across our wider residential and buy-to-let ranges, giving brokers access to more competitive pricing across a broad set of customer needs. By combining reduced rates, increased loan sizes, and continued support for energy-efficient properties, we’re strengthening our proposition and helping brokers support more clients with confidence.”
