The AA has launched a range of new five year fixed-rate mortgages between 75 per cent and 85 per cent loan-to-value (LTV) with, fee and cashback options for both purchases and remortgages.
The five-year options are 60 per cent LTV at 1.68 per cent with a £1,495 fee); 75 per cent LTV at 1.73 per cent with a £1,495 fee, and 85 per cent LTV at 2.03 per cent with a £995 fee.
There are no product fees on the five-year products offering 60 per cent LTV at 2.03 per cent, 75 per cent LTV at 2.08 per cent or 85 per cent LTV at 2.32 per cent.
David Searle, financial services director at The AA said: “Economic uncertainties and the housing market are hot topics at the moment. This could affect mortgage interest rates if the Bank of England takes measures to manage inflation in the coming months.
“With the potential of an interest rate rise in the near future, now could be the best time to snap up these low, long-term rates.
“The reasons why people move; or spend money on their existing home, don’t change. They do so because of important events in their lives – such as a new addition to the family, a new job, or the need to provide accommodation for an elderly parent – and they still need finance to do that.”
AA is also offering free standard valuation fees on its entire range and cashback of between £250 and £500 on some offers.
Other products include two two-year products 60 per cent LTV at 1.11 per cent with a fee of £1,495 or at 85 per cent LTV at 2.03 per cent with a £995 fee, both with £250 cash back.
Two fee free two-year products are available at 60 per cent LTV, 1.44 per cent and 75 per cent LTV at 1.55 per cent.
The AA entered the mortgage market in 2016 with Bank of Ireland UK providing the loans.
