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25 Year Fixed Rate Mortgage

25 year fixed rate mortgage

The 25 year fixed rate mortgage has made a return to the UK mortgage market, and it comes with early repayment charges on a sliding scale to make itĀ less painfulĀ for the borrower to switch out of the scheme over time, with no early repayment charges after the first 7 years.

Historically the “early repayment charges” have been higher for the longer term fixed rates, but with this latest 25 year fixed rate mortgage offer the fees for changing your mind and switching to another lender before the 25 years are up reduce over time. They are 1.5% in the first 5 years, then 0.75% for the next 2 years and no early repayment charges after 7 years. That means a borrower that opts for a 25 year fixed rate mortgage is free to alter the lender and rates after only 7 years.

Obviously if conditions favour the borrower they are free to remain on the 25 year fixed rate for as long as they wish once the first 7 years have passed which will give them long term peace of mind about their monthly mortgage payments

Click Here to request a quote from a UK mortgage arranger who can access the scheme and complete an application for you.

5 year fixed rate mortgages