Posted by мега зеркало рабочее on April 06, 2025 at 02:23:58:
In Reply to: WWWBoard Version 2.0! posted by Sadie on February 15, 2024 at 23:06:39:
A building society has launched new mortgage deals with hefty
cashback, aimed at buyers who are preparing to the burden of April's stamp duty hike.
The Nottingham Building Society has launched two new fixed rates with a
whopping £2,500 and £5,000 cashback, for those buying properties worth £250,
000 or more.
The £2,500 cashback mortgage is for buyers who have a 25
per cent deposit or equity from their existing home, and has an interest rate of
5.28 per cent.
The £5,000 cashback mortgage is for those with a 10 per cent deposit or equity, and has an interest rate of 6.15 per
cent.
Both deals are fixed for five years and come with no arrangement fees.
Normally, cashback mortgages are used by lenders to draw in customers,
or reward them for having things like an energy
efficient home.
Count the cost: Mortgage cashback can be useful during the expensive settling-in period, but deals which offer large amounts of money can mean higher mortgage payments overall
RELATED ARTICLES
Previous
1
Next
Nationwide hands £50 bonus to members and says there could...
Money owed on mortgages reaches RECORD high as lending to...
Share this article
Share
They usually range between a few hundred pounds and about £1,000.
Under the stamp duty changes which will happen on 1 April, first-time
buyers could pay up to £5,000 more on their home purchase than they
would currently, and home movers could pay £2,500 more.
This is because the house price thresholds at which someone starts to pay the tax are being reduced, back to the level they were at before the Conservative government made temporary changes in 2022.
However, there are a few things buyers must be aware
of before signing up.
Is it a good deal?
First, the rates are substantially higher than comparable mortgage deals that don't
offer cashback, or not as much.
According to Moneyfacts, the average five-year fixed mortgage has a rate of 5.19 per
cent.
On a £300,000 home purchased with a 25 per cent deposit on a 30-year term, the repayments
on that average rate would be £1,234.11 per month.
However, many buyers are securing rates lower than that average.
For those with a 25 per cent deposit, the lowest rate available is 4.19 per cent with Barclays, though
it comes with an £899 arrangement fee.
The monthly cost with the fee paid upfront would be £1,098.98 per month.
On The Nottingham's 5.28 per cent rate they would be £1,246.64 per month, and on the
6.19 per cent rate, they would be £1,370.76 per month.