Barclays, through its mortgage arm Woolwich, is extending its range of fixed rate mortgage deals to 90 per cent loan to value (LTV) from tomorrow, including a competitive fee-free three year fixed rate at 4.99 per cent. These are designed to help more customers get moving or remortgaging with affordable mortgages.
The 90 per cent range also includes a five year fixed rate at 5.49 per cent with no application fee for customers who qualify for a Barclays Loyalty mortgage and a low £499 fee for all other borrowers. All the deals revert to a lifetime tracker of 3.39 per cent above base after the fixed rate period ends. All 80 and 85 per cent LTV mortgages will be maintained at their current rates.
Andy Gray, head of mortgages for Barclays, said: “As one of the UK’s largest lenders we recognise the importance of supporting the first time buyer market which is why we’ve committed today to extend our lending to 90 per cent. Higher loan-to-value mortgages with more competitive rates have started to come through the market this year and our deals are sitting well below the average rates* to encourage homebuyers and remortgage customers alike to get some great fee-free mortgages.”
“We are giving homebuyers one of the best packages on the high street for three years, the security of fixing their rate at a competitive rate and zero application fees.”
A typical first time buyer purchasing a home at £150,000 would require a mortgage of £135,000 and will pay £788.41 a month on the three year fixed rate deal at 4.99 per cent.
These deals may also help homeowners who have ten per cent equity in their property and are currently sitting on their lenders standard variable rate (SVR) to fix their monthly mortgage payments. To help them remortgage they can opt for our ‘Switch and save’ service which provides free legal work and valuation making it even easier to switch.
The minimum loan available at 90 per cent LTV is £50,000 and the maximum is £500,000. Borrowers will be assessed for the mortgage in line with our standard lending policy.