The product is funded by Scottish Building Society, and its features include an initial pay rate of 4.70 per cent, a discount of 1.60 per cent for three years, a refund of basic valuation for remortgages only and an arrangement fee of £499, which can be capitalised. There is no minimum loan amount on the product and an 85 per cent loan-to-value (LTV) rate is also available.
House purchases rocket
New home purchases are at an all time high, according to Hamptons Mortgages, which announced record levels of sales in May.
The firm saw new business cases increase from 150 in May 2005, to over 300 in May 2006, with new business accounting for just over 50 per cent of all cases. Two-year fixed rate business also doubled on last year’s performance, rising from 19.75 per cent to 41.31 per cent.
CETA launches online tool
General insurance network, CETA has launched an online tool offering unoccupied property cover for three, six, nine and 12-month terms. Underwritten by Ocaso, it is available to members through its Premium Portal. David Quick, managing director of CETA, said: “Empty properties are seen as a higher risk than occupied homes which puts off many insurers. This has made it harder to find suitable cover at a competitive price.”