Is YBS fueling a mortgage price war?
Has Yorkshire Building Society fuelled a UK mortgage price war by introducing a 0.89% record low interest rate?
YBS’s SVR is currently 4.74%, so, by launching this all-time-low rate of 0.89%, it amounts to a significant discount of 3.85%.
While the rate might be eye-poppingly low, you might want to bear in mind a couple of conditions attached to the mortgage:
A deposit of 35% is required, as the 2 year discounted rate is for up to 65% LTV.
All other fees such as product fee, legal and valuation fees, are not included as incentives and are payable by the borrower.
Also, the rate is linked to the lender’s SVR, therefore, it is conceivable that a further reduction could be seen. This might give you more flexibility, but any rise in rate means that you would not be protected from a hike in your repayments.
If security is important to you, seeking out an alternative, such as a fixed rate mortgage option, would be more advisable.
Discussing your mortgage needs in full and identifying a lender that matches your priorities, is Deal Direct’s job – and one that we do expertly.
Take the opportunity offered by today’s all-time low interest rates and review your mortgage needs. You can get an instant on-line quote right now by clicking the button below. Or, if you prefer to speak to one of our team members directly, call us now.
Speak to a Deal Direct adviser on 0800 048 8828.
