Woolwich in dual mortgage launch

The Woolwich has launched two new mortgage products, aimed at the upper and lower ends of the market.

The new products are aimed at first time buyers and those who want very large loans of up to £2m.

The first time buyer product is a two-year fixed rate mortgage with an initital rate of 6.29% followed by a tracker of BoE base rate + 0.95% until the end of the term.

Arrangement fees are £595 with a 10% per annum overpayment facility and can lend up to 95% of the value of a property. For those with larger deposits, a fixed rate of 5.89% is available on 80% LTV mortgages.

The larger loans mortgage is capable of lending between £500,000 and £2m and up to 85% of the property value. The loan tracks the base rate at + 0.17% and has an arrangement fee of £1,995 with no higher lending charge and no early repayment charge.

Commenting on potential customers for the new mortgages, Andy Gray, head of mortgages at the Woolwich, says: “First time buyers are looking for complete stability if rates continue to rise and consumers taking out larger loans are looking for a competitive rate combined with the ultimate flexibility to enable them to reduce their mortgage as and when they receive large payouts such as bonuses.”

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