Article date: 3 January 2002
Norwich Union, in conjunction with Mortgage Express, hasintroduced a new buy-to-let fixed rate mortgage, fixed at 5.74 percent until December 2003.
Key benefits include:
- No extended tie-in after the fixed rate finishes
- No mortgage indemnity premium
- Flexible facility – borrowers can overpay up to doublethe normal monthly repayment, can underpay or drawdown funds fromany previous overpayments.
A minimum loan value of £40,000 has been designated with noupper limit on the number of properties, up to a total lendingvalue of £1,000,000. A procuration fee of 0.45 per cent of the loanwith a minimum of £175 is also payable to IFAs on completion.
Jon Round, head of mortgage development at Norwich Union,commented: “Buy-to-let mortgages are becoming increasinglypopular and with this affordable fixed rate deal, borrowers haveextra peace of mind, knowing what their monthly repayments will be.The 5.74 per cent fixed rate is great value for money and with theextra flexibility built-in, we are expecting lots of interest inthe market.”
Further information on this product and other mortgage productsavailable from Norwich Union can be obtained by calling 08458451388.
Press office contacts:
James Evans, Norwich Union 08703 66 68 78 Out of hours 07790487105
Louise Goffee, Norwich Union 08703 66 68 70 Out of hours 07810057362
The offer in detail:
- 5.74% fixed until 3 December 2003
- Minimum loan value £40,000
- Maximum 80% loan to value (LTV)
- No mortgage indemnity premium
- £325 completion fee (added to loan)
- Redemption penalty, 6 months interest at SVR until 3 December2003
- No assignment of life cover is required
- Mortgage Express can provide a professional letting andmanagement service, if required.
Buy to Let - 5.74 per cent fixed to 3 December 2003.
Based on a mortgage of £80,000 to buy a property valued at£100,000, repayable over 25 years (300 monthly payments) on aninterest only basis. Initial loan to value 80% APR 6.0% (variable)and total amount payable of £195,725.04. The total amountincludes:
|Sealing fee||£75.00 (charged on redemption, this covers storage,administration and release of mortgage documents)|
The example assumes that all payments are made when duethroughout the term. It also assumes that there is no change in theBank of England’s current base of 4.00% throughout the termof the mortgage and no change to the value of the mortgagedproperty.
|5.74%||1 to 24||£382.67|
|5.75%||25 to 300||£383.33|
Also available on a repayment basis.
Loans are subject to status and to valuation approval by theCompany. This loan will be secured on your home. Applicants must be25 or over. Mortgage security is required. The interest rate isvariable and therefore so is the APR. For loans that redeem (infull or in part) before 3/12/2003, the Company reserves the rightto charge an early repayment fee of six months’ interest atthe Standard Variable Rate. Written quotations are available onrequest.
Information correct as at 22 November 2001.
YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP REPAYMENTS ON AMORTGAGE OR OTHER LOAN SECURED ON IT.
Notes to editors
- Norwich Union is the UK’s largest insurer. It is theUK’s largest provider of life, pensions and investmentproducts and one of the leading IFA providers. IFAs provide around75% of the company’s long-term savings business.
- Norwich Union has strategic alliances with over 20 buildingsocieties and other leading UK brand names including TescoPersonal Finance and The Royal Bank of Scotland Group.
- Norwich Union’s news releases are available on thisinternet site
- A selection of images are available from the CGNU Newscastsite at www.newscast.co.uk
- An ISDN facility is available for studio quality interviews.Call the press office on 08703 666873
For all life & pensions media enquiries 08703 66 68 73
For all other media enquiries 08703 66 68 68