Choice of no-fee 95% mortgages expanding.

Saving for a deposit for your first mortgage can be a challenge. And once you have your deposit, the story doesn’t end there.

All lenders want to help people to purchase a home and many different approaches are used.

The industry norm is that mortgage products come with a fee. Sometimes this can take the form of a reservation fee or a completion fee and sometimes it’s both! Other fees involved include charges for valuations and for the legal work necessary to complete the purchase.

However, although interest rates have fallen to record low rates over the last decade, as house prices have steadily increased overall, lenders have recognised that solely offering a competitive rate is not enough to secure your business.

Pricey fees make it even harder if you’re considering purchasing your first home and a number of lenders have decided this is one financial obstacle that would-be borrowers can do without.

This is why, at the moment, the market is currently seeing an increase in the availability of 95% that have no product fees attached.

Leeds Building Society is one of the mortgage providers who have employed this ‘fee-free’ approach. They are offering a 95% LTV mortgage for 5 years at a fixed rate of 4.30%. Also included is a free standard valuation on your chosen property. 

For further information on this or any other mortgage, contact Deal Direct.

Chat with us online or call us on 0800 048 8828 now.