Mortgage provider Avant Money is to cut its mortgage interest rates by up to 0.4% following recent rate cuts from the European Central Bank.
Avant Money also said today it will introduce a new 1% cashback incentive on all mortgages drawn from January 2025.
Avant said the reduction will apply to all mortgages and not just for those buying a home with a better energy rating.
Its One Mortgage, which allows customers a rate fixed for the full term of the mortgage, will see rates reduced by up to 0.4%, while its most popular product, the four-year fixed rate mortgage, will see rates reduced by up to 0.2%.
The new rates will be available for mortgages drawn from Thursday, November 7, while the new cashback incentive will be available for mortgages drawn between January 1, 2025 and December 31, 2025.
The company said there is no change for its existing mortgage customers.
Any customers who are currently applying for a mortgage who drawdown from November 7 will automatically get the benefit of the lower rates, while those who drawdown in 2025 will automatically qualify for the cashback incentive.
Brian Lande, Head of Mortgages at Avant Money, said that as market rates fall, the lender is pleased to pass the benefit directly to its customers through reduced interest rates and a new cashback incentive.
"The cashback incentive is designed to offset the costs associated with moving home or switching mortgage," he said.
"By reducing our One Mortgage rates, we are now offering customers the option to have complete certainty on their future mortgage repayments at no additional cost to our shorter-term fixed rate products where the rate and repayments will reset every few years," Brian Lande said.
