Leeds Building Society has extended its range of interest-only mortgages, adding two fee-free propositions to its offerings.
In May, the society introduced a part-and-part interest-only mortgage proposition, which offers borrowers more flexibility in reducing their mortgage debt.
The proposition has up to 75 per cent loan-to-value, with up to 50 per cent LTV on interest-only and the remainder on a capital and repayment basis.
Key features:
• 2.29 per cent two-year fixed-rate interest-only remortgage up to 50 per cent LTV
• 2.49 per cent two-year fixed-rate part and part interest-only remortgage up to 75 per cent LTV
• Both come with free valuations for properties worth up to £500,000 and fees-assisted legal services
Adviser View
Kevin Dunn, senior partner and mortgage adviser at Leicestershire-based Furnley House Financial Planning, said: “It is good to see some relaxation of the interest-only criteria. When recommended and advised correctly, it can be a really good product for the right clients, such as a self-employed client mid-50s who might want lower monthly payments and have the capacity to make lump sum capital overpayments as and when required.”
