|Period of Loan||Rate Payable|
Initial Fixed Rate, Currently:
|Month 25 onwards||
Standard Variable Rate, Currently:
|Overall cost for comparison||4.5% APRC|
Interest Rates are fixed.
£30,000 to £700,000
Mixed Repayment/Interest only mortgages will be allowed but the interest only element cannot exceed 50% LTV. The latter only applies to new borrowers. Existing borrowers will be allowed to switch into a new product and port their interest only loan if they move house. If they wish to borrow more than their current interest only element this must be on a repayment basis. Where borrowers wish to continue with an interest-only loan Society staff must establish how they intend repaying this and where possible encourage those that are able to do so to convert all or part to a repayment basis.
During the first 2 years an early repayment charge of 3% of the amount repaid will be incurred. After this period no early repayment charges apply.
Assisted Legal Fees**
One Free Standard Valuation (on properties up to £1 Million in value)
Regular overpayments are not permitted during the first 2 years from completion. Regular overpayments are amounts collected with, and in addition to, your monthly mortgage payments. You may make capital repayments of up to 10% of the original loan amount in each of the first 2 years without an early repayment charge. However, during the first 2 years any additional amount repaid above the 10% permitted will be subject to an Early Repayment Charge of 3% of the amount repaid in years 1 & 2. Following receipt of a lump sum payment, the amount that you owe, and so the amount of interest you pay, is reduced immediately.
A mortgage of £146,068 payable over 17 years and 9 months initially on a fixed rate for 2 years at 1.88% and then on our current variable rate of 5.24% for the remaining 15 years and 9 months would require 24 monthly payments of £807.07 and 189 monthly payments of £1,026.77.
The total amount payable would be £213,554.21 made up of the loan amount plus interest (£67,321.21) and mortgage exit fees (£125).
The overall cost for comparison is 4.5% APRC representative.