Available through Mortgage 2000, the product is aimed at the salaried and self-employed and is available for purchase and remortgage, including let-to-buy.
Marketed through the M2 mortgage club, the product is available at 4.98 per cent up to 85 per cent loan-to-value (LTV), with a 90 per cent LTV offer available at 5.18 per cent, discounted until August 2008. An early repayment charge (ERC) of 5 per cent exists until August 2008, with no overhanging ERCs. A 0.50 per cent proc fee is also available on the product, which has no higher lending charges (HLC). A completion fee of £799 also exists, with the option of free legal fees on all remortgage cases.
Commenting on the product lanch, Colin Snowdon, managing director of Freedom Lending, said: “This is the most competitive two-year self-certification discount currently available via Mortgage 2000. Not only does this product have great rates, but it also offers free legals on all remortgages.”
Alan Collinson, head of lender relationships for Mortgage 2000, added: “With Freedom Lending already offering free legal fees on all remortgages, this is a great package of benefits. We’re delighted to be making them available exclusively via Mortgage 2000 users.”
James Cotton, mortgage specialist for London & Country, said the mortgage product would appeal to the growing self-certification lending market. He explained: “It’s a pretty good deal. Having a rate under 5 per cent is where you have to be at the moment, which makes the product decently priced. But customers may have to look elsewhere if they have a small loan, because the fees are quite high. Self-certification is a niche market, but it is definitely growing. There is now a fair bit of choice, which is good because the rates have come down a lot.”
