Accord has slashed its rates on 21 mortgages by up to 0.23 per cent to help more people get onto the property ladder.
The intermediary-only lender is giving first-time buyers and borrowers with smaller deposits a helping hand by now offering a fee-free 3.99 per cent two-year fixed rate mortgage at 95 per cent loan-to-value (LTV).
Jemma Anderson, mortgage manager at Accord, said: “We’ve aimed to offer a combination of competitive rates and a choice of additional incentives which we hope will appeal to a range of different customers.
“Cashback is always a popular choice with borrowers. However, we’ve received feedback that brokers placing cases with us are having positive experiences with our free legal service partners, which is pleasing.
"Therefore, to maximise keeping costs low for borrowers we’ve tried to include a hat-trick of incentives on 95 per cent of this new range – including free legals.”
Accord, which is part of Yorkshire Building Society, announced the news on Friday (16 March)..
In addition, Accord has almost halved the product fee on its 3.65 per cent two-year 95 per cent LTV fix, which is now at £495.
Both house purchase deals come with £500 cashback on completion and free standard valuation.
In contrast, remortgaging customers with a larger deposit can take advantage of a competitive 1.70 per cent two-year fix at 75 per cent LTV, which has a £495 fee plus £250 cashback on completion and free standard valuation and no legal fees.
For those who do not want to pay a product fee there is a two-year remortgage deal at 2.11 per cent.
This fee-free mortgage at 80 per cent LTV has the additional features of £250 cashback on completion and free standard valuation and no legal fees.
Kusal Ariyawansa, a chartered financial planner at Manchester-based Appleton Gerrard, said: “Accord must be applauded for reducing rates and fees.
"The cash back is always a nice bonus at the end of the process. Other lenders, especially B2L, should also consider lowering the arrangement fees and incentivising those who commit to long term debt.”
