Buckinghamshire launches stepped discount mortgage
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Buckinghamshire Building Society has launched a three-year stepped discount mortgage.
The mortgage for house purchases and remortgages is a three-year stepped owner occupied SVR mortgage, with discounted rates for the first three years.
The interest rates is 2.99% for year one, 3.99% for year two and 4.99% for year three, with a standard variable rate of 5.24%.
The maximum LTV is 60% and the minimum advance is £100,000 and the maximum is £300,000.
Ivan Gould, chief executive of Buckinghamshire, says: “This is a very competitive mortgage and will especially be of interest to people looking to remortgage their property while keeping their repayments at a manageable level. One of the benefits of a local building society like the Buckinghamshire is that we look at all our mortgage applicants on a personal basis, and don’t rely on credit scoring to make decisions for us.”
An arrangement fee of £995 will be payable upfront and there is an Early Repayment Charge of 3% of the amount repaid during the discount period.
There is no valuation fee or legal costs for re-mortgages and for purchases, the valuation fee is dependent on property price.
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Readers' comments (2)
Dan McGeehan | 23 Aug 2011 12:47 pm
Who is this aimed at?......60% LTV could get ING lifetime tracker at 2.39% or pay more in yr 1 with Buckinghamshire...even more in year 2 and lots more in year three. Upfront fee and it is tied to SVR meaning it could rise more the the BOE should rates rise.
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Anonymous | 23 Aug 2011 2:43 pm
@D McG:- your comment presupposes that borrower think base rate will stay where they are for ever. This sounds like a good idea to me. I assume it could be sused with shared ownership which would be great for many FTBs and key workers.
Anyway I'd persoanally rather deal with a small local society who take a persoanl interst in their customers thatn be another number with a stonking great Dutch Bank.
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