Metro Bank announces that its residential customers will be allowed to rent their property through Airbnb, while TSB cuts the rates on its two-year fixed and tracker mortgages by up to 0.25% and Accord gives first-time buyers £500 extra cash back.
Metro Bank has given its residential mortgage customers the green light to use Airbnb, and other similar sites, to rent their properties for up to 90 days a year without prior approval.
Stating that Metro Bank believed in what the sharing economy represented and the freedom and collaboration it encouraged, Paul Riseborough, chief commercial officer for the bank added:
“Our focus is on making our customers’ lives as straightforward and convenient as possible and we therefore hope today’s news will give our customers the reassurance they need to jump in and take advantage of everything the dynamic sharing economy has to offer,”
It is not the first time that Metro Bank has challenged industry norms. Previously, it has offered finance through a peer-to-peer lender with its Zopa alliance and has enabled customers to link their business accounts directly to Xero to manage their finances.
James McClure, general manager at UK & Ireland Airbnb, said:
“The way people use their homes is changing and this is an exciting step change from one of the UK’s most innovative banks. We hope this triggers further support from the mortgage industry as we work together to provide real economic benefits for people and neighbourhoods.”
Meanwhile, further to TSB Bank’s recent changes to its five-year remortgage rates, the Bank has now reduced select two-year fixed and tracker mortgage rates for home movers, first-time buyers and remortgage customers by up to 0.25%.
Included in these latest reductions are a two-year fixed rate of 1.89%(3.5% APRC) at 60-75% loan-to-value (LTV) for first-time buyers, a two-year fixed rate of 1.34%(3.5% APRC) at 60-75% LTV for home movers, and a two-year tracker of 1.14%(3.3% APRC) at 0-60% LTV for remortgage customers.
Just last week, TSB also launched what it says is its best ever five-year fixed rate for remortgage at 1.89%(3% APRC), up to 60% LTV.
Accord Mortgages, the intermediary-only lender, has launched new incentives for first-time buyers.
The lender is offering first-time buyers an extra £500 cashback when they complete on the purchase of their first property.
As from Friday, 18 November, all first-time buyers completing on fixed-rate mortgages at 90% or 95% LTV will be eligible for the cashback.
The incentive will be applied on top of existing offers for the specific mortgage they choose, meaning they could receive a cashback of up to £1,250.
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