Trinity Financial recently helped an existing Birmingham Midshires buy-to-let mortgage customer swap to a new fixed rate just before their deal expired.
After contacting their lender and asking for a new mortgage, they were told to find a broker to process an application. Our client was keen to get a mortgage agreed because they were about to revert onto Birmingham Midshires 4.84% standard variable rate.
Once our broker had the mortgage account number and the answers to the online security questions, he logged in to check the product transfer rates available.
The client was happy with the rate offered by Birmingham Midshires and did not want to apply to other lenders. We submitted the application using the online system and the new mortgage rate was applied one day later.
Birmingham Midshires allow landlords to switch products up to 60 days in advance.
Property type: Four-bedroom house
Rate: 2.97% fixed rate until 31/07/2021
Reversion rate: 4.34% over the Bank of England base rate, currently 5.09%.
The overall cost for comparison is 4.89% APRC representative.
Lender’s arrangement fee: £999
Mortgage term: 25-years
Repayment type: Interest-only
Early repayment charge: Until 31/07/2021
Overpayments: Up to 10% per annum without charge.
Representative example: An interest mortgage of £900,000 payable over 25 years, initially on a 2.79% fixed rate until 31/07/2021 and then on a variable rate of 5.09% for the remaining 23 years, would require 26 monthly repayments of £1,150.88 followed by 274 monthly repayments of £2,099.63. The total amount repayable would be £1,101,269 made up of the loan amount, plus interest (£605,220) and £999 (product fee), £200 (final repayment charge), £35 (completion fee). The overall cost for comparison is 4.89% APRC representative.
The actual rate available will depend on your circumstances. Please ask for a personalised mortgage illustration.
Call Trinity Financial on 020 7016 0790 to secure a Birmingham Midshires product transfer mortgage