The fixed rates start from 5.5% (three-year fixed rate on Near Prime) and 5.85% (three-year fixed rate on Near Prime Max). Reversion rates start from Bank base rate + 1.74% and early repayment charges of 6% per year apply only for the term of the fixed rate. There are no higher lending charges payable, and a fixed completion fee of £1995 can be added to the loan above the maximum LTV. Additional loading on the fixed rates are: 0.20% for self-certification to 65% LTV and 0.25% for self certification to 90% LTV; 0.25% for right to buy on Near Prime to 90% LTV and Near Prime Max to 85% LTV; 0.50% on buy to let Near Prime to 90% LTV and Near Prime Max to 85% LTV; and 0.10% for flexible features, including overpay, underpay, payment holiday, and borrow back).
Helen Hymos, PMPA’s lender relationship manager, said: “ The Rates for Near prime are really competitive with a simple system of add ons for self cert or BTL and RTBs. Fixed arrangement fees are attractive at the moment on large loans and these rates are currently similar to some of the conforming self cert fixed deals which have 1.5% arrangement fees and even charge HLC which the Kensington products do not. The rates should show high on sourcing systems so we are very pleased to have exclusive access for PMPA members. There are limited funds for these fixed rates, so early applications are advisable.”
Ian Giles, Director of Marketing at Kensington, said: “There has been a lot of talk about recent Base Rate increases by the Bank of England and the impact these are having on borrowers’ mortgage payments, but these exclusive deals from Kensington show that there are still great value products out there if you choose the right lender. With great incentives and low rates like these we are showing another example of the shape of things to come at Kensington.”
