Knight Funding launches TMB self-cert

Angela Faherty

June 17, 2006

The PMPA member is offering the two-year deals, which include a fixed rate and two tracker products.

Frances Scanlan, CEO of Knight Funding, said: “These TMB exclusives, via the PMPA, offer excellent value to borrowers at the moment, and we expect high levels of demand from brokers looking for keenly priced products appropriate for their clients’ needs. With swap rates on the increase, the two-year fixed rate with no higher lending charge (HLC) looks particularly good value for self-cert applicants at the moment.”

The two-year fixed self-cert product has a rate of 4.99 per cent, no HLC and an arrangement fee of £799, which can be added to the loan.

The first tracker product is priced at plus 0.19 per cent above Bank Base Rate (BBR), currently 4.69 per cent, and has an arrangement fee of £1,250, which can also be added to the loan.

Both products have an early repayment charge (ERC) of 6 per cent and have a maximum loan size of £500,000 at 85 per cent, £1million at 75 per cent and £2million at 65 per cent.

There is also a buy-to-let (BTL) self-cert tracker available at plus 0.59 above BBR, currently 5.09 per cent, with no ERC, no HLC and no rental yield calculation; although first-time buyers will need proof of income.

Jonathan Burridge, managing director at Quantum Mortgage Brokers, said: “These have definitely got market appeal. Any two-year self-cert fix in the fours is good. There is also a market for the BTL deal, especially in London.”

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