Alongside the new sub-4% product, the lender has also lowered rates across its residential and buy-to-let product ranges.
Residential mortgage rates have been reduced by up to 52 basis points, while buy-to-let rates have seen reductions of up to 25 basis points.
Last week, Coventry Building Society was one of the first lenders to announce a 0.25% reduction in variable mortgage rates, following the Bank of England’s latest interest rate decision. Since then, several lenders – including major banks – have announced sub-4% rates, signalling the start of a new rate war in the mortgage market.
“Seeing sub-4% rates back on the table is a great sign for the market and could lead to more activity in the latter part of the year,” said Jonathan Stinton (pictured), head of intermediary relationships at Coventry Building Society.
