Accord Mortgages will launch a 0.99 per cent two-year fixed rate residential mortgage for borrowers with a 20 per cent deposit.
The 0.99 per cent rate is the cheapest-ever rate for a two-year fixed mortgage at 80 per cent LTV, according to Moneyfacts.
The loan will go live tomorrow for a limited period.
It is aimed at home buyers and remortgage customers. It has a £1,495 product fee and a free standard valuation.
Accord national intermediary sales manager David Robinson says: “We’re really proud to launch this new deal as not only is it our lowest ever rate it’s also one of the most competitive mortgages available across the market at present.”
The lender will give brokers 24 hours’ notice before it stops selling the loan.