The three and five-year Base Rate Tracker Capped mortgages are both capped at 5.99 per cent - meaning the maximum monthly payment a borrower would make during the capped period on a £100,000 repayment mortgage over a 25 year term would be £643.
Colin Dale, head of lending at Skipton Building Society, commented: “Our two new base rate tracker capped mortgages give borrowers the confidence in knowing that their interest rate will never go above 5.99 per cent. This is coupled with the benefit that the rate will fall if, as predicted, we see future decreases in the base rate. Plus, the great starting rates definitely tick all the boxes for borrowers working within a budget.”
Key features
- Three-year Base Rate Tracker Capped mortgage tracks the Bank of England’s base rate + 0.30 per cent for three years – current pay rate of 5.55 per cent and capped at 5.99 per cent for three years
- Five-year Base Rate Tracker Capped mortgage tracks the Bank of England’s base rate + 0.35 per cent for five years – current pay rate of 5.60 per cent and capped at 5.99 per cent for five years
- At the end of the three or five years both products revert to the Society’s residential SVR – currently 6.64 per cent
- Both available up to 95 per cent loan-to-value (LTV) with no Higher Lending Charge up to 90 per cent LTV
- Free legal fees (through Skipton Home Conveyancing Service) and free valuation on all residential remortgage cases
- Flexible benefits – daily interest, overpayments and payment holidays
- No extended tie-in – early repayment charge for the three-year deal is 2 per cent for the first 12 months and 1 per cent for the subsequent 24 months. Early repayment charge for the five-year deal is 2 per cent for the first 24 months and 1 per cent for the subsequent 36 months
- No application fee on either product
- £599 completion fee on both products – can be added to the loan
