The option of a free valuation for mortgage purposes and free legals is also available for remortgaging customers. Alternatively, borrowers can take advantage of a free valuation and £250 cashback upon completion. After the two-year period the deal reverts to Abbey’s SVR, currently 6.50 per cent. The £299 fee can be added to the loan amount.
Speaking of the launch, Gary Hockey-Morley, director of mortgages at Abbey, said: “With 800,000 borrowers now coming to the end of their two-year fixed deals, this is a great rate to remortgage to. This is one of the best deals around and gives borrowers who prefer fixed rates a really excellent deal for the next two years.”
Ray Boulger, senior technical manager at John Charcol, was similarly impressed with Abbey’s offer and went on to explain the current market fascination with the two-year product. “Abbey’s latest offer is a very good deal. The two-year market is getting increasingly competitive and although lenders are desperate to extend the life of their mortgage books, if they do not get the volumes that they expect then they will have to compromise. Two-year fixed deals are obviously the most popular at the moment, reflected by the aggressive rates.”
“Abbey’s 4.39 per cent deal is right in with the crowd and although the LTV is lower than what other lenders will offer, the deal represents good value,” Boulger added.
