YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
Key Comparison Notes
|A discount off the Society’s Standard Variable Rate for 3 years of 0.50%.||4.25%|
|Followed by the Society’s Standard Variable Rate for the remaining term of the loan, currently:||4.75%|
|The overall cost comparison is:||4.9%
Holiday Let Mortgage
Interest Only and Capital Repayment Basis
Capital Repayment and Interest Only mortgages available.
The minimum loan amount is £30,000.00.
The maximum loan amount is £500,000.00.
The maximum loan to value is 70%.
The Society will, subject to compliance with mortgage conditions, offer a rate of 0.50% discounted off the Society’s Standard Variable Rate for 3 years, making the current rate payable 4.25%. After 3 years the Society’s Standard Variable Rate, currently 4.75% will apply.
Available for new purchases, remortgages and mortgages on existing owner/holiday let property.
An early repayment charge will be payable if the mortgage is redeemed within the first three years. The early repayment charge will be equivalent to 2% of the capital repaid. Overpayments (monthly or lump sum) up to a total of 10% of the outstanding loan per year are allowed without charge. Any amount repaid over the 10% limit will incur an early repayment charge of 2% on the excess amount.
- Application Fee – £249. Payable on application. Non-refundable
- Underwriting Fee – For loans between £275,000 and £500,000 an underwriting fee of £500 will apply. Payable on acceptance of the mortgage offer. Can be added to loan (subject to LTV limits). Can be deducted from advance upon completion (subject to LTV limits). The fee must be paid to the Society prior to the advance monies being released. This fee is non-refundable.
- Product Fee – £800. Payable in advance. Refundable prior to completion. Can be added to loan (subject to LTV limits) Can be deducted from advance upon completion (subject to LTV limits).
- Valuation Fee – Variable. Payable on application. Not refundable once the valuation has been carried out.
- Mortgage exit fee – £50.00. Payable upon redemption of the mortgage
If the mortgage is on an interest only basis with the mortgaged property being the repayment vehicle, the Society will require a five yearly review of the value of the property, the cost of which will be borne by the borrower. The cost of each revaluation will be in the region of £100. If the balance outstanding exceeds 70% LTV at the time of the revaluation, the Society may require the balance on the mortgage to be reduced accordingly.
As this product will apply to property which is not owner occupied, the loan will not be a Mortgage Credit Directive (MCD) regulated mortgage contract under the Financial Conduct Authority’s Mortgage Conduct of Business Regulations.
This mortgage is portable, subject to suitable security and underwriting assessment.
The product may be withdrawn without notice.
A mortgage of £105,151.00 payable over 18 years on our buy to let rate for 3 years at 0.50% below the Society’s current variable rate, making the current rate payable 4.25% (variable), and then on our current variable rate of 4.75% (variable) for the remaining 15 years would require 36 monthly payments of £697.35 and 180 monthly payments of £721.11 plus one initial interest payment of £183.65.
The total amount payable would be £156,486.58 made up of the loan amount plus interest (£49,936.58), an application fee of £249, a product fee of £800, a valuation fee of £300.00 and a mortgage exit fee of £50.00.
The overall cost for comparison is 4.9% APRC representative.