New Fixed Rate Mortgage From Yorkshire Building Society

Yorkshire Building Society has launched its lowest ever headline 2 year fixed rate mortgage at just 2.99%.

This low rate fixed rate mortgage from Yorkshire is for up to 50% LTV and has a fee of £995. Whilst a 50% Loan to Value mortgage may be beyond many, for those with a 40% deposit, looking for a mortgage of up to 60% LTV, the 2 year fixed rate mortgage is available at 3.09% with a fee of £1,195. This has featured in best buy tables since its launch 5 weeks ago.

Tom Girling, Product Manager for Mortgages, at the Society said: “Our 2.99% two year fixed rate mortgage is a great product for the four in ten mortgage borrowers who own more than half of their home*. We urge people currently sitting on their lender’s standard variable rate to consider fixing their mortgage payments for a set period of time which will help to counter any movements in base rate over the coming months.”

“For those people not yet ready to fix their mortgage deal we also offer a highly competitive range of trackers including a 2 year tracker mortgage for people with a 15% deposit at 3.79%. This product has a low fee of just £495 compared to other deals in the market which have fees of up to 3% which would cost the customer £4,500 on a £150,000 mortgage.”  

The new mortgages all have free valuation and legal fees for remortgage customers and offset mortgage versions are also available. With low interest rates coupled with high inflation, savers have few savings accounts to turn to make a real return and as a result more are considering an offset mortgage rather than a pure savings account.

* At the end of January 2010, 45% of mortgage borrowers owned up to 50% of their home according to CACI, the leading consumer and market analysis company