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Mortgage Express boards buy-to-let train

Mortgage Express has created a flexible buy-to-let mortgage that is fixed at 3.99 per cent until September 3, 2002.

This mortgage is available for loans of up to 80 per cent of valuation and any number of properties can be bought within a total advance of £1m.

After the fixed-rate period, the interest rate tracks at 1.75 per cent above the Bank of England base rate. There is an extended redemption penalty for two years, so borrowers who pay the mortgage off before September 3, 2004 will pay six months&#39 interest as a penalty.

The latest figures from the Land Registry show that landlords are seeing their properties rise in value. The average property price in the UK increased from £105,924 in the second quarter of 2000 to £117,398 in the same period this year.

According to Business Moneyfacts on August 14, 2001, Capital Home Loans has a fixed-rate buy-to-let mortgage which is not flexible and is less competitive. It has a fixed rate of 5.99 per cent until September 1, 2002 and is also available for loans of up to 80 per cent of valuation. Unlike the Mortgage Express deal, it is available to UK expatriates.

Capital Home Loans has a longer extended redemption penalty than Mortgage Express and a higher early redemption penalty. Borrowers who pay the mortgage off before September 1, 2004 pay 5 per cent of the sum repaid as a penalty. This means prospective landlords with a £500,000 mortgage would pay £16,875 as an early redemption penalty with Mortgage Express and £25,000 with Capital Home Loans.


Save & Invest throws weight behind GE Life high income and growth plan

IFA Save & Invest is throwing its weight behind the latest GE Life high income and growth plan due to be launched later this month. S&I claims the plan is one of the most attractive income products in the current low interest rate environment. It offers a choice of 10.25 per cent gross per annum […]

Term sales increase as IFAs take a 36% share

Term insurance sales in the UK rose by 8 per cent between 1999 and 2000 and IFAs accounted for over a third of sales, according to GE Frankona Re research.The findings, which cover providers of stand-alone term insurance in the UK, reveals that although more people are buying policies online, IFAs are still the most […]

CML anger at &#39absurd&#39 monitoring proposals

The Council of Mortgage Lenders has slammed the FSA for proposing “absurd” regulations forcing lenders to monitor the product information shown to borrowers.The CML, which recently sought clarification from the regulator over the matter, is angry that the FSA is pushing ahead with rules which it claims are impossible for lenders to enforce.The proposals, due […]

Term insurance sales up

Sales of term assurance increased by 8 per cent to 1.05m in 2000 from 973,000 in 1999, according to a survey by GE Frankona Re.The increase means term assurance has now been bought by 25 per cent of the UK working population, with 7.3m policies in force in 2000. Sales of policies over the web […]


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