Leeds launches remortgage range with no product fee

Leeds launches remortgage range with no product fee

Leeds Building Society will add to its mortgage range from Friday 6 January with a selection of deals specifically for those looking to remortgage.

All the remortgage deals come with a free valuation and fees assisted legal services, and there is no product fee.

The range includes a two-year fix at 1.55 per cent available up to 65 per cent loan-to-value.

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Meanwhile at 75 per cent loan-to-value there is a two-year fix at 1.60 per cent and a five-year fix at 2.19 per cent.

Jaedon Green, Leeds Building Society’s director of product and distribution, said: “Demand for remortgages remained strong during 2016 and continued to grow as a proportion of the mortgage market throughout last year.

“We expect that trend will continue as homeowners look to take advantage of the historic low interest rate. These latest remortgage-only deals we’ve launched have no fees, which is an added incentive to switch to a better deal.

“Even if your current mortgage has early repayment charges, it’s worth looking at whether remortgaging to a lower rate could save you money overall by bringing down your monthly repayments, and even help you to pay off your mortgage sooner.”

Remortgage activity has been increasing since the Bank of England’s decision to cut interest rates to 0.25 per cent.

According to the Bank of England there were 43,500 remortgage loans in October compared with 40,400 in August.

Daniel Bailey, a mortgage broker with Derbyshire-based Middleton Finance, said the demand for remortgaging would probably continue into 2017.

He said: “There are a lot of mortgage deals coming to an end in the next six months so I would see that being a big part of the market.

“Leeds’s rates are competitive but the free valuation and no product fee is a big plus.

“It is important to look at the overall cost and clients are more aware of this than before.”