Bank offering rate beating service for £3 million+ mortgages

by Aaron Strutt

Sep 01 2016

One high-street bank is offering to undercut mortgage lenders with £3 million-plus rates to tempt clients to switch to them, while another private bank reduces rates for £5 million plus loans.

More high street mortgage lenders and private banks are improving their large loan rates as they look to hit their lending targets and attract more clients.

Coutts has reduced its short-term tracker rate mortgage by 0.2% and its fixed rate by 0.4%. It improved its five-year fix by 0.8% and knocked a full 1% off the ten-year fix.

Metro Bank has lowered its fixed and tracker rates available for mortgages between £2 million and £5 million. It also offers interest-only mortgages up to 70% loan-to-value, providing clients have a credible repayment plan.

Aaron Strutt, product director at Trinity Financial, says: “It is a good time to secure a larger mortgage because the banks have access to such cheap funding and they are passing on the low rates. It is unusual for a lender to undercut its competitors to attract customers and get a deal through.”

No funds under management

More of the private banks are telling us they do not require clients to put funds under management as part of the deal and they will provide straightforward mortgages.

A private bank has recently stepped back into the market, and it is offering bespoke mortgages for wealthier clients with complex income structures.

It will accept internationally generated income and take cross charges against buy-to-let and residential properties. The bank also offers a drawdown facility although it may charge an additional commitment fee.

5% deposit private bank mortgage

Trinity has access to one private bank providing £1 million+ 5% deposit mortgages to clients with larger salaries or investment portfolios. 

For help to secure a large mortgage loan, call Trinity Financial on 020 7016 0790.