A mortgage of £180,000.00 payable over 25
years initially on a tracker rate for 2 years at 0.30% above the Bank of England Base rate (currently 5.55%) and then a 0.75% discount on our current Standard Variable Rate
of 8.24% giving a rate of 7.49% for 3 years and then on our current Standard Variable Rate
of 8.24% for the remaining 20 years would require 24 monthly payments of
payments of £1314.37 and 240 monthly payments of
The total amount payable would be £408,634.58 made up of the loan amount plus interest of
£227,600.58 and application fee £0, product fee £999, valuation fee
£0, funds transfer fee £35.
The overall cost for comparison is 7.8% APRC representative.
During the fixed term, the interest rate won’t go under 0.50%, even if the Bank of England base rate drops below this. This is sometimes referred to as an interest rate ‘floor’.
This representative example assumes a mortgage completion date on the 1st day of a calendar month.
The above representative example is for illustration purposes only and may vary depending on your personal circumstances.