- Mortgage type
- A fixed rate mortgage has an interest rate that stays the same for a set period of time. During the fixed rate period your monthly repayments stay the same. At the end of the fixed rate period the interest rate will change, usually to the lender's standard variable rate (SVR).
- Interest rates
- 3.89% fixed until 29 March 2021 changing to our SVR for the remainder of the mortgage
- Maximum loan to value
- 95 %
- Application Fee: Purchase £300
- Booking fee: £300
- Mortgage Exit Administration Fee (MEAF): £115
- Overpayments allowed
- Free valuation
- No higher lending charge
- Loan size
- £50,000 (min) - £250,000 (max)
- Early repayment charge (ERC)
- The Early Repayment Charge (ERC) period applies from the date of completion.
- For this product the ERC period is until 29 March 2021
- ERC is 3% to 29 March 2020 and then 2% to 29 March 2021 of the original loan amount
- During the ERC period you are permitted to make overpayments up to 10% of the original loan amount per year. If overpayments exceed 10% in a year during the ERC period, you will have to pay the relevant ERC percentage rate on the amount of overpayment exceeding the permitted level.
- The full ERC is payable on the original loan amount if you repay your mortgage in full during the ERC period. The ERC will also be levied on previously permitted overpayments.
- Available to those purchasing their residential home subject to product terms.
- The mortgage term must be between 5 and 35 years.
- New Build properties are not acceptable on this product.
- Properties must be located in the following post code areas; AL, BA, BH, BN, BS, DT, EX, GL, GU, HA, HP, HR, KT, LU, MK, NN, OX, PO, RG, RH, SG, SL, SM, SN, SP, SO, TA, TW, UB, WD, WR.
- Minimum property value of £125,000
A mortgage of £254,600 payable over 34 years initially on a fixed rate for 2 years and 10 months at 3.89% and then on our standard variable rate, currently 4.2% for the remaining 31 years and 2 months would require 34 monthly payments of £1,125.98 and 374 monthly payments of £1,170.10 plus one initial interest payment of £705.49.
The total amount payable would be £477,321.21 made up of the loan amount plus interest of £222,006.21, a booking fee of £300, an application fee of £300 and a MEAF of £115.
The overall cost for comparison is 4.2% APRC representative.
LIMITED AVAILABILITY - PRODUCT MAY BE WITHDRAWN WITHOUT NOTICE
YOUR MORTGAGE IS SECURED ON YOUR HOME. PLEASE THINK CAREFULLY BEFORE SECURING OTHER DEABTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
- Legal work is required when buying your home and is carried out by a solicitor, payable by you. We can use the same solicitors as you, providing there is a minimum of four Approved Managers/ Licence Holders and they are registered on The Law Society website (www.lawsociety.org.uk). Licenced conveyancers are also acceptable for residential business only. The conveyancer must be registered with the Council of Licenced Conveyancers and be in a firm with at least four Approved Managers/Licence Holders.
- No higher lending charge applies, we will take out an insurance policy to cover the associated risk of lending more than 75% of the purchase price/valuation of your property but we will not charge you for it.
- We will carry out a standard mortgage valuation at our cost, providing the mortgage completes. If the mortgage does not complete and the valuation has been carried out, you are responsible for paying it. Where the valuation fee is payable, our normal scale of valuation fees apply.
- You can upgrade to a Home Buyers report if you wish and if you would prefer a full building survey, we can give you the names of some local surveyors who can organise this for you. (see our Mortgages Explained booklet for valuation and home buyer fees).
- Loan to value (LTV) is the proportion of the value or price of the property (whichever is lower) that you borrow on a mortgage. For example, a £150,000 mortgage on a house valued at £200,000 would mean a LTV of 75%.
- All loans over 70% LTV must be on a capital and interest repayment basis.
- Application fees can be added to the mortgage provided this does not take the loan over 95% LTV. If you add the application fee to your mortgage, this increases the amount you borrow and will also increase your monthly payments. This fee is refundable if the mortgage does not take place.
- A booking fee of £300 is payable on application and is non-refundable. Payment of the booking fee reserves the requested funding within the timescales given below.
- A Mortgage Exit Administration Fee (MEAF) applies when you repay your mortgage. Please see our Tariff of charges leaflet and your Key Facts Illustration (KFI) for details.
- House purchases must complete within three months of the date of the formal mortgage offer.
- All our mortgages are portable, which means that if you move house within an early repayment charge period the product can be transferred to your new mortgage, up to the value of the product outstanding at redemption, without charge. If the loan amount on your new mortgage is lower, there may be a charge based on the difference between the old and the new loan amount.
- Charges applying to the ongoing administration of your mortgage are detailed in our Tariff of charges PDF, which you will be given before your mortgage completes.