7.19% variable, which includes a 0.91% discount from our Standard Variable Rate for 5 years.

Our Standard Variable Rate* for the remainder of the term, currently 8.10%.

8.1% APRC

Fees

Arrangement fee – £150 (payable on completion, can be added to the loan)

A valuation fee may be charged. The amount will be dependent on the property value

Incentives

None.

No early repayment charges apply.

Further Advance

Capital & Interest or Interest-Only

75% - including the current outstanding mortgage.

Minimum £25,000 – Maximum £1,000,000

The total loan including the existing mortgage may not exceed £1,500,000.

Portability

This product is portable and can be transferred from the existing property to a new property.

Interest rate floor

The interest rate for this mortgage has a ‘floor’, which means that it will never fall below 4.29% during the discount period.

Adding fees

If you add the arrangement fee to the loan, then interest will be charged on it resulting in a greater amount payable over the term of the mortgage.

Eligibility

Property must be in England and Wales with a value of £140,000 or more.

Not permitted within 6 months of completion of the original mortgage.

Mortgages are subject to underwriting.

Affordability

The affordability calculations can vary depending on tax status, ownership type and property type. As a minimum, we require the projected rental income to be at least 125% of the mortgage payment at an assumed interest rate of 8.10%. In some instances, personal income may be used to cover any shortfall.

Please contact us for full details.

This is a worked example of repayments specifically relating to the further advance part only of the loan. This information is to help you understand the typical cost of this mortgage and is not representative of your personal circumstances.

A mortgage of £56,657.00, payable over 19 years, on an interest-only repayment basis, with an initial payable rate of 7.19%, which includes a 0.91% discount from our Standard Variable Rate (SVR) for 5 years and then on our SVR, currently 8.10%, for the remaining 14 years. The initial term would require 60 monthly payments of £339.47, followed by 168 monthly payments of £382.43.

The total amount payable would be £141,908.44, made up of the loan amount (£56,657.00), plus interest (£184,616.44), Additional Borrowing Arrangement Fee (£150) and a Standard Valuation Fee (£485).

The overall cost for comparison is 8.1% APRC.