Abbey’s 90% deal can hardly be feted as great for market

I question whether the story last week that Abbey for Intermediaries is offering a 90% LTV deal at 6.75% is great news (Mortgage Strategy Online).

Santander has a 5.99% 90% LTV three-year fixed rate which is only available direct.

It is still dual pricing, no matter which way you look at it and the Abbey product may only really be of interest to panel lenders without access to the whole market.

I certainly don’t think it heralds any fanfare. If it would offer us an even playing field then yes, drums, trumpets the lot, but not for 6.75%.

I agree that some will say the 5.99% rate is a three-year deal, so cannot be compared like-for-like, but that’s semantics.

To a first-time buyer, I am sure the extra £40-odd pound a month saving would be more important.

CORBY MACDONALD