This mortgage comes with an interest rate of 4.49% fixed until 31.08.2029 followed by our Standard Variable Rate for the remainder of the term, currently 8.10%.
What are the key features of this product?
This is a fixed rate mortgage product which means monthly payments will not go up or down during the term of the fixed period. This is different to a discount rate product. The rate of interest is not linked to the Society’s Standard Variable Rate (SVR) for mortgages. During the first 5 years the interest rate charged will be fixed at 4.49%.
Three months before this product ends, we will contact you with the options available. If you do nothing at the end of the product period, you will move to the Society’s SVR which may mean your payments increase.
This product is available on:
A Capital & Interest repayment basis. This means your monthly repayments will contribute to paying back the initial loan as well as the monthly interest on the remaining balance. Over time, this will mean the amount owed will reduce and the interest will also reduce.
An Interest-Only repayment basis. This means that your monthly repayments will only pay back the interest on your initial loan amount. The capital balance will not reduce. You will need to agree with us up front, a suitable method of repaying the initial loan at the end of the mortgage term.
This product is available for properties in England and Wales.
There is a £999 fee payable for setting up this mortgage.
This product is available for loans of at least £50,000 and up to £500,000.
Who is this product designed for?
This product is designed for customers wanting a residential mortgage who:
are looking to purchase or remortgage a property.
have at least a 20% (40% for interest only) deposit/equity in their property.
are happy to fix their payments now and have certainty that payments will not change until the end of the fixed period.
do not intend to make overpayments of more than 10% in any of the first 5 years.
Who is this product NOT intended for?
This product is not intended for customers who:
want their monthly payments to change with the Society's SVR for the term of the product.
plan to repay more than 10% of the loan in any year within the first 5 years as this will result in a charge.
Does this product deliver "fair value" for customers?
Being a mutual building society, all our products are priced to balance the needs of our Member savers and borrowers and the Society’s operating costs to support the Society’s long-term future.
We support our mortgage customers by providing each applicant with a bespoke, personal, and individual approach. We largely deal with people whose circumstances do not fit into the standard requirements of automated decision-making processes used by larger lenders.
We believe this product represents fair value for the customers it was designed for considering the customer support provided before, during and after the application.
Initial Rate
4.49% fixed until 31.08.2029 followed by our Standard Variable Rate for the remainder of the term, currently 8.10%.
Fee Details
£999 – This can be added to the loan on completion; however, this will result in interest being charged on it making the overall fee greater over the term of the mortgage.
Maximum LTV
80% - Capital & Interest
60% - Interest Only
Loan Size
Minimum £50,000 - Maximum £500,000
Maximum Mortgage Term
35 years
End Date
This 5-year product has a fixed end date of 31.08.2029. Dependent on when your loan completes, this rate may last longer or shorter than the number of years quoted in the title.
Portability
This mortgage product is portable to a new residential mortgage on a different property when the new mortgage is taken out simultaneously with the repayment of the existing mortgage. You would need to meet our credit and affordability requirements for the new mortgage, the new property would need to be acceptable to us, and approval of a new mortgage would be subject to our prevailing Lending Policy.
Repayment Method
Capital & Interest or Interest-Only*
*Conditions apply, please speak to us
Incentives
None
Restrictions
Lending restricted to England and Wales.
This product is available for purchases and remortgages.
Minimum property value of £125,000 is required.
Early Repayment Charge Details
A full or partial capital repayment, which exceeds 10% of the capital balance amount in any one year during the fixed period, will attract an early repayment charge of:
5% until 31.08.2025
4% until 31.08.2026
3% until 31.08.2027
2% until 31.08.2029
Representative Example
A mortgage of £197,396.00, payable over 27 years, on a capital & interest repayment basis, initially on a fixed rate of 4.49% until 31.08.2029, and then on our Standard Variable Rate, currently 8.10%, for the remaining 22 years. The initial term would require 64 monthly payments of £1,052.40 followed by 260 monthly payments of £1,427.93.
The total amount payable would be £440,319.40, made up of the loan amount (£197,396.00), plus interest (£241,219.40), Arrangement Fee (£999), Standard Valuation Fee (£285), Solicitor Fee (£250), Funds Transfer Fee (£15), and a Mortgage Exit Fee (£155).
The overall cost for comparison is 6.80% APRC.
This information may not be representative of your personal circumstances and your payments may differ from this. Representative data as of 1st January 2024.
If you haven’t registered with us already, please register online before submitting business with us. Once registered with us, you can register to our broker online services.
REGISTER
Obtain a DIP before submitting an application. Attach an affordability calculator to your submission and we'll give you an initial decision based on the information provided.
DECISION IN PRINCIPLE
Once your registration has been confirmed, you'll be able to submit an application via our online broker portal. All documents required for the application are uploaded at this time.
SUBMIT APPLICATION