First Time Buyer Mortages - Rate Fixed for Term - Help Please?

abivens10

Hello

I'm looking to buy a house over the next couple of months and currently shopping for mortgage options. So far the best i can see is around 2.7% fixed for 5 years with Cumberland BSoc. However i spotted another offered by Tipton which suggests that it is 2.99% and fixed for term - Is it me or does this sound too good to be true, what is the catch? Is it really fixed for term?

I've copied below and italicised amending the amounts to anonymise what we are looking to lend

Thank you!

LTV 92%

Tipton + Coseley
RATE
2.99%
For lifetime

SET-UP FEES:
£325

MONTHLY PAYMENT
£600 For 420 months
Then £601 for 0 months

MSE TOTAL COST
£7200
for year 1

This product is available directly from Tipton + Coseley or via a broker How to apply

kingstreet

I've checked the T&C direct and intermediary.

I think you're looking at the discount for life rate on the 100% family assist scheme.

It isn't a fixed rate.

http://www.thetipton.co.uk/home/mortgages/pdt03

abivens10

Ah, I see. I did look at that but there was no mention of 'family assist' specifically in the quote or product details on MSE or Money Supermarket and Tipton's website is bad!

Thanks for your help. Looks like the Cumberland Building Society @ 2.74% fixed for five years is the one for me.

dontpanick

Just out of curiosity, are you saying you've found a 5yr Fixed term mortgage at 2.74% for 92% LTV?

Or is that a fake LTV for the example?

abivens10

Yeah, its on offer from the Cumberland Building Society....

This mortgage product is only available to customers applying in the following location(s): West Northumberland, North Lancashire, Dumfriesshire, Cumbria

REPRESENTATIVE EXAMPLE

THE BASICS

Lender
CUMBERLAND BUILDING SOCIETY
Type of mortgage
Fixed
Initial rate
2.74%
Revert rate
4.24%
Max LTV
95%
Initial period
5 years
Min - max mortgage amount
£20,000 - £500,000
Min age
18

dontpanick

That seems like quite a deal. I can't find the same details in my own search but I'm outside of those locations anyway. Closest I can find for a 5yr fix is 3.74 for ~95% LTV

abivens10

Which one is that?

Any idea on good first time buyer 95 LTV mortgages that dont require family assist or a guarantor?

Thanks