3
Sep
Homebuyers encouraged to take out five-year loans
Homebuyers looking to purchase a house for sale in the UK have been
told to take advantage of five-year mortgages.
Sales and marketing director at Leeds Building Society Kim Rebecchi
said that in "the current climate, locking into a fixed-rate deal
for a five-year period has many benefits".
She added that these include "certainty, peace of mind and the
ability to limit monthly outgoings" during a period where the
economy faces the prospect of a double-dip recession and falling
housing prices.
This comes after the financial services provider launched its
five-year fixed-rate deal at 3.94 per cent earlier this week.
Ms Rebecchi stated that it will help homebuyers to budget and have
certainty with their monthly expenses.
She added that this deal is likely to be popular among homebuyers
who wish to climb the property ladder in a few years as the
fixed-rate mortgages are portable between homes.
Earlier this week, home loan provider Godiva announced its
three-year fixed-rate loan at 3.39 per cent on properties with
loan-to-value of 65 per cent