Top 5 five-year fixed rate mortgages - Savings - News - Moneyfacts

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Top 5 five-year fixed rate mortgages

Top 5 five-year fixed rate mortgages

Category: Savings

Updated: 19/06/2013
First Published: 19/06/2013

MONEYFACTS ARCHIVE
This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Continued uncertainty in the economy is persuading many people to fix their mortgage for a longer term, particularly five-year deals.

Low mortgage rates have swept across the market over recent weeks, believed to be a result of the Funding for Lending Scheme, introduced last August by the Government to encourage lending to individuals and small non-financial businesses.

Research by Moneyfacts.co.uk found the average five-year fixed rate stands at 3.88% compared with 5.59% in April 2011.

Here are the current top five-year fixed rate mortgages:

Norwich & Peterborough Building Society

Norwich & Peterborough Building Society

2.74% fixed for 5 years
  • Available directly
  • Maximum loan-to-value 60%
  • Minimum advance of £25,001
  • £295 fee
  • Incentives of free valuation fees for all borrowers, £200 rebate for purchase customers and free legal fees for those remortgaging
  • Overpayments, underpayments and payment holidays allowed

Penny saysPenny says…
"Currently at the top of the five-year mortgage market is this highly competitive deal available to purchase and remortgage borrowers with deposits of 40% and over.

"This mortgage should prove very popular with borrowers looking for a flexible, low rate deal, which also boasts generous incentives for purchase and remortgage borrowers and features including overpayments, underpayments and payment holidays."

First Direct
First Direct

2.99% fixed for 5 years
  • Available directly
  • Maximum loan-to-value 75%
  • Minimum advance of £10,000
  • £499 fee for mortgage advances up to £400,000, £998 fee for mortgage advances between £400,001 and £800,000, £1,497 fee for mortgage advances between £800,001 and £1 million
  • Free legal fees offered to remortgage borrowers
  • Overpayments allowed

Penny saysPenny says…
"Sitting in second place is this five-year deal available to borrowers with deposits of 25% and over.

"Customers must open or hold an existing first direct current account to run alongside this mortgage."

Leeds BS
Leeds Building Society

3.19% to 30.06.18
  • Available directly
  • Maximum loan-to-value 80%
  • Minimum advance of £5,000 for purchase borrowers and £25,001 for those remortgaging
  • £199 fee, plus £800 completion fee for mortgage advances between £500,000 and 1% of mortgage amount for advances over £500,001
  • Overpayments of up to 10% of the outstanding balance allowed

Penny saysPenny says…
"This attractive deal, available to purchase customers only, should prove popular with borrowers with deposits of 20% and over.

"Borrowers must remember that an additional completion fee, the cost of which is determined by the borrowing amount, is required on top of the initial £199 upfront booking fee."


The Co-operative Bank
The Co-operative Bank


3.69% to 30.6.18
  • Available directly
  • Maximum loan-to-value 85%
  • Minimum advance of £25,000
  • No fee
  • Incentives of free valuation admin fees for all borrowers and free valuation fees and legal fees for remortgage customers
  • Overpayments, underpayments and payment holidays allowed

Penny saysPenny says…
"As well as having a low rate and no arrangement fee, this deal offers borrowers the flexibility to make overpayments, underpayments and take payment holidays.

"This mortgage is subject to applicants switching their current account to The Co-operative Bank upon application or two consecutive months' salary paid into the lender's current account."

Hanley Economic Building Society
Hanley Economic Building Society

4.20% to 30.4.18
  • Available directly
  • Maximum loan-to-value 90%
  • Advances between £30,000 and £475,000
  • No fee
  • Overpayments allowed

Penny saysPenny says…
"Borrowers with smaller deposits of 10% and over should be attracted to this deal from Hanley Economic Building Society.

"Combining a best buy rate with no arrangement fee, this product's appeal is heightened by the flexibility to make overpayments."


Information & Rates correct as at: 30/05/2013

What next?

Compare 5 year and over fixed rate mortgages
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Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

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