Existing fixed rates have been reduced by up to 0.34%, and some of the best rates on offer are:
- Two year fixed ‘fee-free' rate at 4.25% (80% LTV)
- Two year fixed rate at 3.95% (80% LTV)
- Three year fixed rates at 3.35% (65% LTV) and 5.69% (90% LTV)
- Five year fixed rate at 4.95% (85% LTV)
- Two year tracker at 4.69% (90% LTV)
To help borrowers keep costs down further, the Post Office has launched a two year fixed rate range with no upfront fees (from 25% to 15% deposit). From just 3.48% with no arrangement fee, the deals also include a standard valuation, and for those looking to remortgage, standard legal fees are also covered.
For those with a slightly larger deposit, the Post Office has also added a second 65% LTV deal giving borrowers the choice of a two year or the new three year fixed rate mortgage, which offers a rate of 3.35%.
For burgeoning and existing landlords, the Post Office has also launched a new two year fixed buy-to-let category, including a rate of 4.78% at 65% LTV, building on its three and five year fixed rates and lifetime tracker deals.
Post Office director of personal lending, Marco Hughes, said: "We are committed to helping as many borrowers as possible find an affordable mortgage that meets their needs. According to the FSA statistics, 37% of borrowers are on a rate of 4.5% or more, and are put off switching due to the perceived high costs involved. Our new ‘fee saver' two year fixed deals should particularly help borrowers looking to remortgage, whilst for first time buyers with a 15% deposit, it significantly reduces the overall cost of buying a house."
