The seven year fixed rate is ideal for borrowers looking to remortgage as it offers legal fees paid, a free valuation and no MIG — helping them save money from the outset.
Seven Year Fixed Rate Mortgage:
· 5.85% fixed until 30/06/2011 (6.5% variable APR)
· Reverts to SVR
· £299 arrangement fee
· MIG free
· Free valuation
· Legal fees paid for remortgagers Available to 95% LTV
· Minimum loan size: £15,001 for purchase, £25,001 for remortgage
· Early repayment charges: 5% until 30/06/2011
Paul Vinnicombe, senior marketing manager at Bristol & West, said: "Running a household budget can be a tricky balancing act, and it is particularly difficult to plan for the future when you don't know how much your single biggest financial commitment is going to cost five or six years down the line. Our new seven year fixed rate mortgage gives interest rate certainty during the term, which should make balancing the household budget that much easier.
"We predict that Base Rate is likely to rise to at least 5.5% by the end of 2005, and perhaps even reach 6%. This would result in standard variable rates (SVR) averaging around 7%. With the world economy firmly in recovery and a period of sustained growth expected, interest rates are likely to remain fairly high for the foreseeable future."
