Type: Fixed-rate mortgage
Fixed term: Until September 30, 2010
Fixed rate: 4.59%
Minimum loan: 15,500
Maximum loan: Up to 95% of valuation subject to a maximum of 500,00
Income multiples: 3.5 times principal income plus second or 2.85 times joint
Conditions: Capital repayments of up to 5% a year allowed without penalty
Arrangement fee: 499
Redemption fee:5% of mortgage balance until September 30, 2010
Introducers fee: Refer to lender
Tel: 0845 601 0763
Portman Building Societys latest five-year fixed rate mortgage is available for loans up to 95 per cent of valuation at the rate of 4.59 per cent.
Park Row Independent Mortgages managing director Kevin Paterson says: “As five year fixed rate products go this new one from the Portman is about as good as it gets. At 4.59 per cent, it is within the top six currently advertised and is within 0.1 per cent of the cheapest five year fixed rate available.”
Identifying the less attractive features of the mortgage Paterson complains: “The upfront fee is a bit toppy and Portman’s base rate is higher than most of it’s competitors in this range.”
However, he feels the Portman redeems itself with the facility to overpay, as it does offer good value for money. He also likes the fastrack facility for loans below 65 per cent of valuation, which he feels should make it pretty quick.
However, Paterson warns mortgage brokers that they will need to move fast if this is of interest to their clients as Portman is insisting that the deal is reserved first as there is a limited tranche of funds available.
Suitability to market: Good
Competitiveness of mortgage rate: Good
Introducers fee: Good