Accord cuts ten-year fix to 2.49%

Accord has reduced its 10-year fixed rate at 65% LTV by 20bps to 2.49%.

Related topics:  Mortgages
Rozi Jones
23rd March 2018
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"Homeowners have been fortunate not to experience a rate rise in almost ten years, and may have been unsettled last autumn by the first of what is predicted to be many."

The ten-year fix is available from Monday 26 March and comes with a £995 product fee and free standard valuation.

Accord has also reduced rates on 27 mortgages across its 75%, 80%, 85% and 90% loan-to-value range by up to 0.25%.

The demand for longer term mortgages increased significantly across the intermediary market last year, with the proportion of completions on fixed term mortgages of ten years and over rising by 39% from January 2017 to December 2017.

Borrowers’ appetite to secure a great rate for longer is also demonstrated in the proportion of completions for five-year fixed rate mortgages, which rose by 70% from January 2017 to December 2017.

Ben Merritt, mortgage manager at Accord, said: “Borrowers are seeking security during economic and political uncertainty so it’s no surprise that homeowners want to fix for longer.

“Homeowners have been fortunate not to experience a rate rise in almost ten years, and may have been unsettled last autumn by the first of what is predicted to be many. They are making a shrewd decision by fixing for a decade and must be confident that they can afford what they are paying in monthly repayments now for the entirety of that deal period.

“As applications for ten-year fixes are gaining momentum we have reduced the rate on our decade-long deal which we hope will appeal to brokers who are helping clients to find a competitive long-term option."

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