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Skipton 95% LTV deal will be direct only

Skipton Building Society is launching a deal for first-time buyers at up to 95% LTV which will only be available from the lender’s branches and direct channels.

The mutual is launching a range of products aimed specifically at first-time buyers and which offers discounted deals for existing Skipton customers and their families. It includes a two-year fixed rate deal priced from 4.99% to 6.99% for existing customers , with LTVs between 85% and 95%, and a £995 fee.

New customers can access the products from 5.19% to 7.19%.

Skipton is also offering a two-year tracker starting from Bank of England base rate plus 4.19% for existing customers and 4.39% for new customers, with a maximum LTV of 90%.

It comes with a £695 product fee.

The building society is also launching a range of 90% LTV deals available to brokers with Skipton’s subsidiaries Pink Home Loans and Connells.

The broker deals include a three-year fixed rate deal at 5.29% at up to 85% LTV and a three-year fixed rate deal at 6.59% at up to 90% LTV.

Richard Andrews, products controller at Skipton, says: “We have a limited tranche of funding available to gauge demand, and the customer response will help shape our mortgage offering during the rest of this year.

“We understand that many borrowers – both first-time buyers and those looking to move home – are struggling as a result of the historic recession and resulting housing market volatility.

“We hope this range will provide them with a much-needed helping hand to achieve their home ownership aspirations.

“In reflection of our mutual values, it also combines innovative, good value product solutions with loyalty rewards which recognise our members’ ongoing, strong commitment to the society.”

The direct products will launch on May 17.

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  • bob dobalina 20th December 2011 at 2:27 pm

    @luke atkinson – sir you spout on like you are an old industry stalwart when you are not.

  • Grey haired Underwriter 18th May 2010 at 11:18 am

    to anon 11.40 am – Your problem is not that lender’s won’t lend in Scotland but that you have a different legal system. It just isn’t worth the costs of preparing and printing all the legal docs, leaflets and there are obviously different procedures and expertise required for lending under a completely different legal structure.

    I would have no problem getting involved in ‘dates of entry’ and ‘exchanges of missives’ if there was sufficient demand and legal expertise to warrant it but the fact is the costs of setting up a facility for Scotland when the money can be lent without extra cost in E&W just isn’t financially worth it

  • Luke Atkinson 18th May 2010 at 10:11 am

    Those brokers who are moaning are those that have very little understanding of the industry and knowledge of criteria but who call themselves ‘professionals’. The tough and challenging last two years has been what this industry has needed for years, to seperate the wheat from the chaff, to shoot down the cowboys and allow the true professionals to survive and grow stronger. Try being a bricky, a ship builder, dare I say it an estate agent during the recession. Its been tough, deal with it, those who can’t, go and stack shelves in Tesco, those who can will continue, grow and prosper in this slowly re-emerging industry.

  • Roger 17th May 2010 at 11:40 am

    Skipton were already offering 7 year fixed deals that were not available to brokers and now this. They don’t even try to make it easy for a broker to use their products, as they don’t have a list of products and product codes available. A real waste of time.

    We also have to deal with Post Office mortgages offering low 90& deals which are not available to brokers.

    Add to that I am in Scotland and the choice of lenders is far less than in the rest of the UK. I would love to be able to use Kensington, Aldermore, Hanley Economic and Nottingham BS (also with 95% LTV mortgages), but for unknown reasons they will not lend in Scotland…how is that Treating Customers Fairly?

  • Paul 17th May 2010 at 9:58 am

    Bobby you have had the longest farewell in history. Ever since this debate facility started you have said you are leaving and that the broker market is dead. Why are you still doing it? I know of new entrants to the broker market who are more than happy with their new career choice. The difference between the old and the new brokers is excpectation. The market of several years ago was unbelievable, but anybody who is honest will say that it was never sustainable. Adapt to the current market and there is a living to be made. Unfortunately that living no longer involves a brand new car every year but will still offer a decent income, and WHEN the market improves for brokers maybe the money will not be thrown away as quickly.

  • Grey Haired Underwriter 17th May 2010 at 8:56 am

    Louise, am I missing something here? Why should a lender give a better exclusive rate when it can sell money direct and not pay a proc fee? I would also suggest that the dearth of 95% money is such that the lender would be overwhelmed with introduced business within a few days and then everyone would be moaning about service delivery. Besides I would suggest that the amount of money allocated to the scheme would be a drop in the Ocean compared to demand.

    It’s tough out there and only the most knowledgeable and best sales people will survive but may I suggest that you don’t totally rely on Trigold and other sourcing systems – try developing local Building Society relationships – you might be pleasantly surprised

  • james briggs 15th May 2010 at 5:44 pm

    This was always going to get the ‘woe is us’ from brokers response. Use your imagination guys, get the clients to apply direct, help them with forms/requirements, sell them a bit of protection and bob’s your uncle. This IS good news, start being positive…

  • Mike Fitzgerald 15th May 2010 at 1:20 pm

    The broker community still wait for things to change and new lenders to offer good LTV mortgage deals.Our day will come and we will remember lenders who helped us and lendesrwho did not.

  • Bobby 15th May 2010 at 9:24 am

    Its time for brokers to throw the towel in now. For the next 5 years mortgage finance will be very limited and those that lend will do so through non advised, execution only, direct deals with their own salesforce to keep control of the finance and have it all in house with the opportunity then to sell all the insurances.

    The role of the whole of market broker is dead.

    Its very sad and wholely unfair and obviously bad for the public that they will no longer be able to get independant advice but its what the FSA and lenders have determined and we as sole traders with no clout or trade body to support us have no chance of changing that.

    Its been a worthwhile career and I am glad to have helped so many clients but I am not a registered charity and need to get an income and it will no longer be from being a mortgage broker so it really is time to find a new career.

    Good luck in whatever you do in the future.

  • Jim 15th May 2010 at 9:14 am

    As a broker for Sequence/Conells owned by Skipton we are now getting dual priced by our parent company! It beggars belief

  • anthony clegg 15th May 2010 at 6:18 am

    all the brokers making negative comments now will be the same brokers who will be crying with the broker market is dead in the water. smell the coffee guys, the game is over as you know it, dual pricng is here to stay you have to adapt or diversify.

  • Graham Kennedy 15th May 2010 at 12:44 am

    What are you worried about? This is the Skipton we are talking about. The detail will show the deals to be absolute rubbish! Stop being paranoid!!!

  • Matthew Rickett 14th May 2010 at 9:46 pm

    The argument from lenders is that they can’t offer these rates through the IFA channel as they would not be able to cope with demand and they would not have sufficient funds. The branch network do little or no business so they can offer competitive rates with the hope that their branch staff may actually get round to selling a mortgage. Can I suggest that all brokers charge a fee and start recommending these direct products. We will then see how well the branch network copes with demand!

  • Sarah Smith 14th May 2010 at 7:22 pm

    serisouly you can’t complain about direct only deals then ask for a broker exclusive. I think this is a positive step to more high LTV deals, I’m sure the products will be expanded to us over the course of the year.

  • Jon Shears 14th May 2010 at 6:10 pm

    Getting Boring Now…. Shall we just all shut our broker doors?

  • Keith Curtis 14th May 2010 at 6:05 pm

    So in other words the intermediary is unable to source good mortgage clients for them. £695 fee for a direct client!

  • Louise Riley 14th May 2010 at 5:45 pm

    When are brokers going to have the same rates or maybe exclusive rates which are better than the actual lender? Its a nightmare at the minute

  • Kevin friend 14th May 2010 at 5:17 pm

    What a way to finish the week if you are a Broker! At 95% no doubt you will need blue blood too!