by Mark Johnston
The Chelsea building society has reviewed its mortgage products and decided to introduce the ninety percent loan to value (LTV) mortgage.This is part of the range of direct only deals to be launched.Also the Chelsea building society has got a two year fixed mortgage and a five year fixed mortgage.
The Chelsea building society is one of the largest building societies in the united kingdom, the Yorkshire building society, following the merger on the first of April 2010. Their businessis is built on strong values and they highlight that they have a long standing culture of giving their customers fair treatment.
As a building society they do not need to answer to external shareholders. They claim on their website that their priority is and always will be with their members, who have taken out one of their savings or mortgage accounts. Whats more , their merger with yorkshire building society means that they are in a much stronger position to look after your money.
The Chelsea building society have amongest the ninety percent loan to value (LTV) products widely available throughout the branches are a two year fixed rate mortgage at 4.37 percent and a five year five year fixed rate mortgage at 5.29 percent.
The Chelsea building society group manager Chris Smith, says: “In the last few months we have spent time and energy developing our product range. To build on that we hope that the introduction of these 90% LTV products will offer more choice to our customers, particularly those who have a limited deposit to put down.”
The Chelsea building society has also reviwed a number of its other product rangers and are also cutting the rates of a selected number of its mortgage products.
Chris Smith the Chelsea mortgage societies group product manager, says: “Given recent activity within swap rates we have been able to further reduce a number of our mortgage rates, making them even more competitive for consumers. We are offering a 3.79% five-year fixed rate mortgage up to 60% LTV and a 2.79% two-year fixed rate mortgage up to 60% LTV.”
This means that for example, a five year fixed rate mortgage for a home worth one hundred thousand pound over twenty five years. Would require a deposit of forty thousand pounds and a loan of sixty thousand pounds. The interest for the five year period would be 3.79 percent resuting in a month a monthly payment of £521.
The two year fixed rate version at 2.79% would work out at round £467 per month based on a a borrower looking to purchase a £100,000 home. They would need a £40,000 deposit as the loan to value (LTV) is 60%. This would mean the value of the laon would be £60,000 over a standard twenty five year period.
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