Short-Term Fixed Rate
The Bank of Scotland is offering a fixed rate deal until 28 February 2009, at a rate of 5.19%, reverting to the standard variable rate for the remaining term of the mortgage, currently 7.5%. The overall cost for comparison is 7.4% APR. An Early Repayment Charge is payable if you repay all or part of the mortgage during the fixed rate period. There is a valuation fee of £300 and an arrangement fee of £499 that can be added to the loan.
Long-Term Fixed Rate
The Bank of Ireland is offering a fixed rate deal until 31 March 2012, at a rate of 5.29%, reverting to the standard variable rate for the remaining term of the mortgage, currently 7.34%. The overall cost for comparison is 6.9% APR. An Early Repayment Charge is payable if you repay all or part of the mortgage during the fixed rate period. There is a valuation fee of £240 and an arrangement fee of £799 that can be added to the loan.
Short-Term Discount or Tracker
BM Solutions is offering a two-year tracker scheme at the Bank of England base rate minus 0.65%, equating to 4.6%, reverting to the standard variable rate for the remaining term of the mortgage, currently 7.24%. The overall cost for comparison is 7.2% APR. An Early Repayment Charge is payable if you repay all or part of this mortgage within two years. There is a valuation fee of £350 and an arrangement fee of £1000 that can be added to the loan.
Long-Term Discount or Tracker
Alliance & Leicester is offering a five-year discounted scheme at 2.1% off its standard rate, equivalent to a current rate of 5.29%, reverting to the standard variable rate for the remaining term of the mortgage, currently 7.39%. The overall cost for comparison is 6.8% APR. There is an early redemption penalty upon repayment of this loan up to the end of the discount period.
There is valuation fee of £280 and an arrangement fee of £599 that can be added to the loan.
Cashback
Chelsea Building Society is offering a mortgage fixed at 6.84% until 1 March 2012, with a 6% cashback on completion. The overall cost for comparison is 7.2% APR. There is a requirement to repay the cashback on early repayment of the loan within the fixed rate period. There is a free valuation and free legal work, but an arrangement fee of £695 that can be added to the loan.
Buy-to-let
BM Solutions is offering a two-year tracker buy-to-let deal at the Bank of England base rate minus 0.51%, equating to 4.74%, reverting to their standard variable rate, currently 7.2%, at the end of the period. The overall cost for comparison is 7.2% APR. An Early Repayment Charge is payable if you repay all or part of this mortgage during the first two years of the loan. There is a refundable valuation fee of £350, while the arrangement fee of £1500 can be added to the loan.
There is no guarantee that it will be possible to arrange continuous letting of the property nor that the rental income will be sufficient to meet the cost of the mortgage.
Remortgage
For those looking to remortgage, the Bank of Scotland is offering a fixed rate deal until 28 February 2009 at a rate of 5.59%, reverting to the standard variable rate of 7.5% for the remaining term of the mortgage. The overall cost for comparison is 7.4% APR. An Early Repayment Charge is payable if you repay all or part of this mortgage during the fixed rate period. This mortgage offers a free valuation, free legal work and no arrangement fee.
Lifetime Tracker
Northern Rock is offering a lifetime tracker deal at the Bank of England base rate plus 0.34% for the full term of the loan, currently equating to 5.59%. The overall cost for comparison is 6%. There is no Early Repayment Charge on this loan, but there is a valuation fee of £505 and an arrangement fee of £995, which can be added to the mortgage.
This loan also offers a £700 cashback.
100% Mortgage
Mortgage Express is offering a 5.79% deal, fixed until 30 April 2009, reverting to the standard variable rate for the remaining term of the mortgage, currently 7.25%. The overall cost for comparison is 7% APR. An Early Repayment Charge is payable if you repay all or part of this mortgage during the discount period. There is a valuation fee of £260, and an arrangement fee of £695.
Capped Rate Mortgage
Skipton Building Society is offering a tracker mortgage at a current rate of 5.75%, capped for three years to a maximum rate of 5.75%, reverting to the standard variable rate for the remaining term of the mortgage, currently 6.64%. The overall cost for comparison is 6.5% APR. An Early Repayment Charge is payable if you repay all or part of this mortgage during the capped rate period. There is a valuation fee of £220, and an arrangement fee of £599 that can be added to the loan.
Figures based on £150,000 purchase price or value and £100,000 repayment mortgage over 25 years. All figures are subject to revision, but current at time of going to press.
