The lender is keeping existing rates on hold until 17 December 2006. This means residential two-year flexible fixed rates are available from 4.79 per cent up to 85 per cent loan-to-value (LTV) with £1,195 product fee.
Northern Rock has also revised its buy-to-let range, adding a five-year flexible fixed rates and two-year flexible tracker products, and introducing an 80 per cent LTV tier across the range. Buy-to-let rates now start from 4.49 per cent for the two-year flexible tracker and 4.59 per cent for the two-year flexible fixed rate.
Northern Rock has also amended the fee structure on its buy-to-let product range. Landlords will now have the option to pay a percentage product fee of 2.5 per cent, 1.5 per cent or 0.75 per cent, a fixed product fee of £1,999 or choose to pay no product fee. The rate will depend on the level of fee paid.
'Help With Costs' will not be available as an option for the new buy-to-let range available from 7 December 2006.
The maximum LTV available on Northern Rock’s buy-to-let product range remains at 87 per cent.
In Northern Rock’s residential range, rates in the flexible fixed products were due to increase on 6 December but they will now remain available and unchanged until close of business on Sunday 17 December. Products in the remainder of Northern Rock’s residential and lifetime mortgage range are also unchanged and continue to offer a number of options as standard including:
• a fee saver option - available on all products - whereby customers can choose to pay a slightly higher rate of interest in exchange for not paying a product fee
• no Higher Lending Charge on any Northern Rock mortgage product
• no extended early repayment charges
• full flexibility as standard, with daily interest calculation, unlimited penalty free overpayments, underpayments, borrow back overpayments at the product rate and the option to take payment holidays, even if customers have not previously overpaid
• £500 'Help With Costs' option available on most residential products
All Northern Rock mortgage products are available to existing borrowers at the same rates as to new borrowers. Subject to any conditions attached to their existing mortgage, Northern Rock customers can switch to any one of its latest deals.
Allison Thompson, marketing director at Northern Rock, said: "Our ‘Winter Freeze’ offer will keep flexible fixed rates on hold until 17 December 2006. In addition, our revised buy-to-let range offers even more options for landlords at market leading rates. We believe that our competitive rates and supporting benefits continue to offer a very attractive overall product proposition in keeping with our commitment to openness, transparency, and fair treatment of customers.”
