Accord adds cash incentive to mortgages

Accord adds cash incentive to mortgages

Accord Mortgages has revised the rates on its mortgages and added a cashback offer for buyers seeking to borrow up to 95 per cent of the value of their property.

The lender also offers free standard valuation and free legal fees for both house purchase and remortgages.

For customers seeking a loan for a new build home at 90 per cent loan-to-value, the Yorkshire Building Society-owned lender is offering an interest rate of 2.29 per cent, with a product fee of £749. A £1,000 cashback reward is paid on completion.

For customers seeking a remortgage at 90 per cent LTV, Accord is offering a rate of 2.49 per cent, with a £995 product fee, while those seeking to buy at 95 per cent LTV, a rate of 3.4 per cent is on offer, with a £495 product fee.

Jemma Anderson, a product manager at the lender, said: "We understand that moving house or buying your first home can be expensive and come with unexpected costs.

"That’s why we’re offering brokers and their clients the option of a mortgage with £1,000 cashback on completion, as well as other incentives, including free standard valuations and free standard legal fees."

Ms Anderson said the products had been designed to appeal to a wide range of borrowers.

She said: "The mortgages are designed to help home buyers with the costs of moving, whether that’s a first-time buyer getting on to the property ladder, families wanting to buy a new home to help them grow, or older people who want to downsize into a smaller property."

Andrew Pratt, a mortgage broker at Bath-based Top Dog Mortgage Company, said the inclusion of a cashback element to this product was underwhelming, although he thought the product sounded good overall.

He said: "All these cashback things are gimmicks. We have seen 95 per cent products creep into the market as confidence has built. The help to buy guarantee helped pave the way for that, and now the lenders have their confidence back."