Properties must be located in England or Wales. Product available to those purchasing or remortgaging their residential home subject to product terms. The mortgage term must be between 5 and 35 years. Minimum property value of £125,000. Also available for existing borrowers to transfer their existing mortgage into, subject to payment for any ERCs that apply on their current mortgage and for existing borrowers moving house.
Properties in London and the surrounding area in the following postcodes: WC, EC, E, SE, N, NW, W and SW are restricted to 60% LTV.
Purchase: £50,000 (Min) - £300,000 (Max)
Remortgage: £50,000 (Min) - £250,000 (Max)
Mortgage interest is charged on a daily basis.
Legal work is required when buying your home. The legal work is carried out by a solicitor and is payable by you. We can use the same solicitors as you, providing there is a minimum of four Approved Managers/License Holders and they are registered on The Law Society website (www.lawsociety.org.uk).
Licensed conveyancers are also acceptable for residential business only. The conveyancer must be registered with the Council of Licensed Conveyancers and be in a firm with at least four Approved Managers/License Holders.
For remortgages, we can carry out the legal work for you using title insurance (see Incentives, below) provided borrowers are UK-nationals and resident in the UK at time of completion.
- Free valuation
- Overpayments allowed
- 'Free legals' for remortgages
- No higher lending charge
No higher lending charge applies, we will take out an insurance policy to cover the associated risk of lending more than 75% of the purchase price/valuation of your property but we will not charge you for it.
We will carry out a standard mortgage valuation at our cost, providing the mortgage completes. If the mortgage does not complete and the valuation has been carried out, you are responsible for paying it. Where the valuation fee is payable, our normal scale of valuation fees apply. You can upgrade to a Home Buyers report if you wish and if you would prefer a full building survey, we can give you the names of some local surveyors who can organise this for you (see our Mortgages explained booklet for valuation and home buyer fees). Mortgage interest is charged on a daily basis.
If an existing borrower would like a revaluation carried out to assess whether they qualify for this product they will be required to pay a revaluation fee (see our Mortgages explained PDF for details).
Where ‘free legals’ apply, they are for remortgages only. The legal work will be carried out by Newbury Building Society using title insurance and the cost, which covers HM Land Registry fees, a title insurance premium and other disbursements will be paid by us. Title insurance is only available to applicants who are UK Nationals and resident in the UK at the time of completion. If for any reason the remortgage does not take place, you will need to pay any legal costs incurred (maximum £250). The ‘free legals’ service does not include the legal work involved for registering unregistered land or transferring property from one person to another (the names and addresses of the borrowers must agree precisely with those held at HM Land Registry). If legal work is required in these areas, a solicitor will be required to act at your cost.
Maximum loan to value
Loan to Value (LTV) is the proportion of the value or price of the property (whichever is the lower) that you borrow on a mortgage. For example, a £150,000 mortgage on a house valued at £200,000 would mean an LTV of 75%.
All loans over 70% LTV must be on a capital and interest repayment basis.
For existing borrowers transferring onto this product the LTV will be calculated on the current loan outstanding and the indexed valuation held on our records. If the borrower feels the indexed valuation is inaccurate it can be reviewed by contacting our Customer Services department.
Application fees can be added to the mortgage and are refundable if the mortgage does not take place. If you add the application fee to your mortgage, this increases the amount you borrow and will also increase your monthly payments.
A booking fee of £300 is payable on application and is non-refundable. Payment of the booking fee reserves the requested funding within the time scales given below.
A Mortgage Exit Administration Fee (MEAF) applies when you repay your mortgage. Please see our Tariff of charges leaflet and your Key Facts Illustration (KFI) for details.
House purchase applications must complete within three months of the date of the formal mortgage offer or within 6 months for a property currently under construction. Remortgages must complete within three months from the date the application is received.
For new build properties the mortgage offer is valid for up to 6 months. The application must be able to complete in the product timescales. Therefore, the new build property must be completed and available for occupation within 6 months of the mortgage offer.
Where existing borrowers transferring their mortgage are not in an early repayment charge period, the transfer must take place within two weeks of the mortgage offer.
All our mortgages are portable, which means that if you move house within an early repayment charge period the product can be transferred to your new mortgage, up to the value of the loan outstanding at redemption, without charge. If the loan amount on your new mortgage is lower, there may be a charge based on the difference between the old and the new loan amount.
Charges applying to the ongoing administration of your mortgage are detailed in our Tariff of charges PDF, which you will be given before your mortgage completes.