National Counties launches 10-year fix for borrowers aged up to 75
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National Counties Building Society has launched a 10-year fixed rate mortgage product for customers up to the age of 75.
The product has a fixed rate of 4.19% and is available to borrowers needing to borrow no more than 25% of the value of their property.
The product, which is available through brokers has a completion fee of £1,495 and a £100 reservation fee.
Customers must have a minimum property value of £200,000 and can borrow up to £250,000.
Keith Barber, associate director of business development at National Counties, says: “Our new product can help people put in place a structured and affordable repayment plan which offers the reassurance of known monthly repayments due to the fixed interest rate.
“We take our lending responsibilities very seriously and our experienced underwriters individually assess each application. This approach enables us to look at each case on its merits. We are committed to offering solutions which will support existing homeowners at a time when family finances are under pressure.”
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Readers' comments (3)
Bob Riach Riach Independent Financial Advisers | 25 Nov 2011 11:41 am
For a minimum property value at £200,000 the loan would be £50,000. Surely paying a completion fee of £1,495 and a £100 reservation fee can’t be viable on this size loan.
We are seeing more and more lenders offering products with high arrangement fees that they expect the clients to add to the loan so that they don’t feel they are actually paying a fee as the client is are not writing a cheque out
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Anonymous | 25 Nov 2011 12:11 pm
Yes - a fee of £1,495 is steep if the loan is only £50k....but there are also some other terms not mentioned in the artical:
The Mortgage is available on a 10 year term only - i.e. You can't get a 15, 20, 25 year term with the deal reverting to SVR at the end of the fixed period.
10% p.a. early repayment charge free allowance for capital repayment is not available.
It is only available on Capital & Interest.
and finally, it is a max of 2 x joint income.
So, in summary, it's a bit of a niche product.....but then again, that's to be expected from a relatively small lender.
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Bob Riach Riach Independent Financial Advisers | 25 Nov 2011 12:40 pm
So, in summary, this is just to gain some publicity for the lender
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