Newcastle Intermediaries has introduced what it claims to be a “market leading” three-year fixed rate at 1.99 per cent.
Available at a maximum loan-to-value of 80 per cent, the residential mortgage also comes with a £499 completion fee - which can be added to the loan up to the max LTV - and a £199 reservation fee - payable upfront and non refundable.
Steve Carruthers, head of mortgage distribution for Newcastle Intermediaries, said that three-year fixed rates have increased in popularity.
“They combine current competitive lending rates with the reassurance that mortgage payments will be fixed for the period.
“House buying or remortgaging used to involve a choice between a better rate, or the certainty of a fixed product.”
Rachel Springall, spokeswoman for Moneyfacts Group, confirmed the new deal is the lowest rate at 80 per cent LTV three-year fix on the market right now and also appears in their best buy tables.
She said: “It has a reasonable fee and a low rate, which meant it made it into our pick of the week too.”
Adviser View
Marcus Beech, owner of Your Finance Today, said: “It can be used for home purchasers or remortgage clients looking to pay down debt or improve their home – at this loan-to-value it makes for a fantastic proposition for our customers.”
peter.walker@ft.com
