Type: Self-cert flexible tracker mortgage
Tracker term; Three years
Tracker rate:0.69% above Bank of England base rate
Payable rate: 5.19%
Minimum loan: 25,001
Maximum loan: Up to 85% of valuation subject to a maximum of 500,000, up to 75% of valuation subject to a maximum of 750,000, up to 65% of valuation subject to a maximum of 1m
Income multiples: Up to 3.25 times principal income plus second or 2.75 times joint
Flexible features: Overpayments of up to 500 a month, underpayments, payment holidays, lump sum withdrawals subject to 500 minimum, interest calculated daily
Conditions: Free standard valuation for remortgages
Arrangement fee: 495, 75 reservation fee for purchases
Redemption fee: Six months interest in year one, five months interest in year two, four months interest in year three
Introducers fee: Subject to negotiation
Tel: 0845 940 1400
UCB Home Loans has added the three year flexible tracker mortgage to its self-cert range.
Brian Pack Financial Services principal Brian Pack feels this is another useful tool for mortgage brokers as it has a good interest rate and no overhanging redemption penalties.
He says: “The fees are reasonable for a change and it should be a market leader. Adviser remuneration is average.”
There is nothing Pack dislikes about this product but he sees competition coming from lenders with higher rates such as The Mortgage Business, the Mortgage Works, Mortgages Plc and GMAC.
He concludes: “UCB is becoming very competitive and it is the first lender you look at for some products.”
Suitability to market: Good
Competitiveness of mortgage rate: Good
Adviser remuneration: Average