Have the best of both worlds by securing a long-term fix with our buy to let 5 year fixed mortgage with no early exit penalty charge
It’s rare that I am surprised by a mortgage product innovation but this gem combines both a 5 year fixed mortgage with no early exit penalty charge.
During the last few years we have seen a dramatic decline in buy to let mortgages with no early repayment charges. This is due to many reasons but my guesses are lenders need to make some money and as rates are at a historic low they tend to look and make their money either with larger than normal arrangement fees or how they view early repayment charges.
Although we do have access to a number of products with no early repayment charges they tend to be variable or tracker products. Historically, we did have access to a few competitive two-year buy to let mortgage fixed products, but this is the first time that I can think of that I have been able to offer my clients a five year fixed rate with no penalty charges to exit, free valuation and free remortgage basic legals, leaving them free to change strategy.
Example Product Rate and Fees – Buy to Let Mortgage 65%LTV No Early Repayment Charges
[ezcol_1fifth]Initial Rate: 3.09[/ezcol_1fifth] [ezcol_1fifth]Subsequent: 4.74[/ezcol_1fifth] [ezcol_3fifth_end]The overall cost for comparison 4.42 APRC[/ezcol_3fifth_end]
Buy to Let Mortgage No Early Repayment Charges: Purchase or remortgage. Ideal for property developers. No early repayment charges. Free basic legal service on remortgages.
| Type and initial benefit period | Fixed to 31/10/2021 |
| Minimum deposit / equity: | 35% |
| Valuation fee | £FREE |
| Booking fee | £0 |
| Lender arrangement | £1999 |
| Telegraphic transfer / CHAPS fee | £8 |
| Legal fee | £177.43 (Nil on remortgages) |
| Early repayment charge | Nil |
Example Product Rate and Fees – Buy to Let Mortgage 75% LTV No Early Repayment Charges
[ezcol_1fifth]Initial Rate: 3.49[/ezcol_1fifth] [ezcol_1fifth]Subsequent: 4.74[/ezcol_1fifth] [ezcol_3fifth_end]The overall cost for comparison 4.53% APRC[/ezcol_3fifth_end]
Best buy to let 5 year fixed mortgage with no early exit penalty charge: Purchase or remortgage. Ideal for property developers. No early repayment charges. Free basic legal service on remortgages.
| Type and initial benefit period | Fixed to 31/10/2021 |
| Minimum deposit / equity: | 25% |
| Valuation fee | £FREE |
| Booking fee | £0 |
| Lender arrangement | 1999 |
| Telegraphic transfer / CHAPS fee | £8 |
| Legal fee | £177.43 (Nil on remortgages) |
| Early repayment charge | Nil |
For more information on 5 year fixed mortgage with no early exit penalty charge please call complete the enquiry form on this page or call the number below.
Any property used as security, which may include your home. may be repossessed if you do not keep up repayments on your mortgage
Important Information
Residential and Buy to Let Mortgages
Rates current as at 24/8/16 . The overall cost for comparison is based on a purchase price of £300,000 over a 25 year term. The Right-to-Buy example is based on a discounted purchase price of £150,000. Repayment for Residential and Interest only for Buy-to-let (unless otherwise specified). Eligibilty will depend on your own personal circumstances.
KEY – ERC = Main early repayment charge.
The purpose of this web is for information only and is based on a fictitious illustrative scenario. It does not constitute a Mortgage Offer in any way.
It is essential that you seek independent mortgage advice as a suitable product will be based on your own individual circumstances. An interest rate should not be read in isolation, and you should refer to your personal key facts illustration and Mortgage Offers for full terms and conditions. If anything is unclear it should be discussed fully with both your mortgage and legal advisors before entering into a mortgage contract with the lender.
The information contained herein is based on research through the Trigold (IRESS UK) sourcing system. When first published to this site the data is normally 24 hours behind real time, and may or may not still be available.
A first charge over your property is required as security for the loan.
The formal mortgage offer of an advance will be subject to a valuation and other satisfactory references.
Author: Payam Azadi
Payam Azadi is a partner at Niche Advice who are whole of the market Independent Mortgage Brokers. His role is very much focused on Property financing both on residential and commercial lines. To get in contact with him please click here.
