The discount is 1.75% in year one, 0.50% in year two and 0.25% in year three, with rates for the three Unity ranges starting from 4.75% (Light); 5.25% (Medium) and 5.50% (Heavy).
The rate on the Unity two year fixed rate (Light) product via PMPA member packagers has also been reduced by 0.45% to 5.50% (status) and 5.75% (self cert.). Fixed rates on the Unity Heavy range are priced at 6.75% (status) and 6.95% (self cert.)
Early repayment charges (ERCs) of 6% of the outstanding mortgage balance are payable if the mortgage is repaid before the third anniversary of completion, with ERCs for fixed rates being 7% within year 1 and 6% within year two. There are no overhanging ERCs.
Jon O’Brien, director of operations at PMPA said: “The new exclusive stepped discount from Unity Homeloans is structured to offer the maximum benefit in year one, when most borrowers prefer repayments to be as low as possible. The rates are very competitive in the marketplace and we expect high levels of demand from brokers. The distribution strength of PMPA enables us always to offer a number of consistently high quality exclusive products via our members, and we are confident that we will continue to add value to our lenders, our member packagers and their brokers in future.”
