The Marketplace at Bradford & Bingley has launched an exclusive, market -leading two-year stepped fixed mortgage, which is funded by the Portman Building Society. The loan has an initial rate of 3.49% and is aimed at first-time buyers who have a 10% deposit and want an initial low fixed rate.
The 3.49% rate reverts to 4.49% in 2004, until 2005. Thereafter, the rate reverts to bank base rate plus 0.95% for term.
The maximum LTV is 95%, and up to 10% of the loan can be repaid penalty-free every fixed year. There are no extended tie-ins, and the deal is MIG-free up to 90% LTV.
David Bitner, head of product operations at the Marketplace, says: “Our new exclusive with the Portman is a fantastic product, particularly for first-time buyers who have a 10% deposit. It has a market-leading two-year fixed stepped rate, with a low rate for the first year, which will benefit first timers at a time when money is often most tight.
“Being a fixed rate product, it also allows borrowers to budget for the first two years, knowing exactly what they have to pay each month.”