For customers keen to fix their rate now, but who think that the Bank Base Rate (BBR) may fall in a year or two, the fixed then variable rate trackers provide two options:
• a fixed rate of 4.99% for one year, followed by BBR +0.65% for two years, and BBR +0.66% for term after year three
• a fixed rate of 5.64% for two years, followed by BBR +0.65% after year two and BBR +0.66% for term after year three
The final offering from the Society is a five-year discount of 2.15% off N&P’s Standard Variable Rate (current payable rate of 5.34%).
Stewart Hunter, head of introduced lending for N&P, said: “These mortgages have been launched to reassure people that even though rates may be rising, there are still some good deals out there. Although there’s obviously no guarantee, there is a view in the market that Bank Base Rate may fall again over the next year or so, and the mix of a short fixed rate and a tracker would give customers the benefit of a fall in rates if they think this might happen. Whatever brokers are looking for on behalf of their clients, I’m confident we have a mortgage that suits their needs.”
Details of the 2.15% discount:
• Current payable rate 5.34%
• Maximum loan-to-value 90%
• £599 reservation fee
• 3% redemption interest in first five years
• Flexible features apply (overpayment, payment holidays etc)
• 10% penalty-free capital repayment up to £10,000 per annum
Details of the 2-year fixed (5.64%) then tracker:
• Maximum 90% loan-to-value
• £385 reservation fee
• Reverts to Bank Base Rate +0.65% (currently 6.40%) after year two and Bank Base Rate +0.66% (currently 6.41%) for term after year three
• Redemption charges of 5% in the first three years
• Flexible features apply (overpayment, payment holidays etc)
• 10% penalty-free capital repayment up to £10,000 per annum
Details of the 1-year fixed (4.99%) then tracker:
• Maximum 90% loan-to-value
• £385 reservation fee
• Reverts to Bank Base Rate +0.65% (currently 6.40%) after year one for two years, and Bank Base Rate +0.66% (currently 6.41%) for term after year three
• Redemption charges of 5% in the first three years
• Flexible features apply (overpayment, payment holidays etc)
• 10% penalty-free capital repayment up to £10,000 per annum
