Norwich Union has set up a range of flexible mortgages to replace its
residential mortgage products.
The new loans include three flexible mortgages with varying discount
options and a value tracker, which Nor wich Union says offers low interest
rates and complete transparency.
There are no lock-ins or tie-ins and all mortgages under £500,000 are fee-free.
Mortgage business development manager Ewan Edwards says flexible mortgages
are the way forward as borrowers are not penalised for paying off their
loans quickly, they can borrow money back and they can take payment
holidays for up to six months.
Discounted mortgages, however, may have early redemption fees applied if
the mortgage is repaid in full.
Edwards says: “Homebuyers have quite rightly had enough of the take it or
leave it approach to mortgages. Customers recognise mortgage providers have
not always offered the most equitable deals and it is no wonder the fully
flexible mortgage has shaken up the market.”