Mortgage Express launches range of two-year self-cert mortgages

Mortgage Express has announced that it is introducing a range of two-year fixed-rate deals on self-certification mortgages, in response to research showing “strong consumer demand” for two-year offers.

Among the new products is a package at 90 per cent loan-to-value (LTV), with a rate of 5.49 per cent, an overall cost for comparison of 6.82 per cent annual percentage rate (APR) and a fee of £999.

There are also three options at 85 per cent LTV, one of which has a fee of £999, a pay rate of 5.39 per cent and an overall cost for comparison of 6.8 per cent APR. The other two have fees of £599, with rates of 5.79 and 5.49 per cent and costs for comparison of 6.83 and 6.77 per cent APR respectively.

All of these products run until September 30th 2008, at which point they will revert to the variable rate of two per cent above the Bank of England base level, regardless of LTV. They all also have early repayment charges of five per cent in the opening two years.

Emma Paine, Mortgage Express product development manager, said: “These are the first two-year products in our self-certification portfolio and have been launched to offer borrowers a competitive rate with no extended redemption penalties.

“Our research indicates a growing desire for the flexibility a shorter deal offers and we have responded to this need.”

A range of discounted products are also available at 90, 85 and 75 per cent LTV with discounts of 1.05, 1.52 and 1.81 per cent respectively.