(PRWEB) June 09, 2011
Barclays, through its mortgage arm Woolwich, has slashed the rate on Bovis Homes' 'Perfect 10' mortgage package by 1.20 percentage points to 3.79 per cent to continue to be at the forefront in helping homebuyers get moving with mortgages at 90 per cent loan to value.
Almost one year on from launching 'The Perfect 10' which is a two year fixed, the rate has been reduced from 4.99 per cent to 3.79 per cent with an arrangement fee of £999, making this one of the most competitive rate for borrowers with a 10 per cent deposit since the recession hit. After two years the rate reverts to a lifetime tracker at Barclays Bank Base Rate* + 2.99 per cent variable, the overall cost for comparison is 3.7% APR which equates to 3.49 per cent variable at today's Barclays Bank Base Rate.* The early repayment charges apply.
The deal is available on any new Bovis Home at all of the company's developments across England and Wales.
The Barclays and Bovis Homes innovative partnership also provides buyers with free three year unemployment protection insurance if they were to lose their job from the date of exchange and £500 towards their legal fees.
Andy Gray, head of mortgages for Barclays, said: “Slashing the rate enables more buyers to purchase a new home with just a 10 per cent deposit since the recession. The deal also gives a measure of protection for customers, Barclays and Bovis Homes and is testament to our commitment to get lending at 90 per cent levels on the right track but in a way which is sustainable in the long term.”
Bovis Homes chief executive David Ritchie said: “In the current climate house builders can't just be about bricks and mortar, and they can't sit back while homebuyers battle to raise the funds for a new home. We've been striving to find ways to help them move and this big cut in the initial two-year rate offers homebuyers a superb opportunity to get in there and snap up their dream home.
“'The Perfect 10' could be good solution for people struggling to get a deposit and now it is even better. Hopefully this rate cut can bring the bit of sunshine people need to get them moving.”
The mortgage package is aimed at home-movers with limited equity and could particularly benefit first-time buyers who do not have to pay stamp duty on purchases up to £250,000. A typical first time buyer purchasing a Bovis Home at £150,000 would require a mortgage of £135,000 and will pay £697.02 a month with 'The Perfect 10' saving them around £170 a month or £4,000 over the two year period, compared to the average rate of 5.98 per cent* for a two year fixed rate mortgage (90 per cent LTV).
For more information on 'The Perfect 10' scheme, customers should visit http://www.bovishomes.co.uk/perfect10 or contact their local Bovis Homes Development.
Your home may be repossessed if you do not keep up repayments on your mortgage
The Perfect 10 is subject to specific terms and conditions and is only available as a complete package and cannot be used in conjunction with any other offer. Up to £500 towards conveyancing fees paid on legal completion. Full details of the 90% mortgage offer are only available through one of Bovis Homes independent mortgage brokers, whose details will be provided by Bovis Homes sales advisors.
- Barclays Bank Base Rate, currently 0.5% typically follows the Bank of England Bank Rate but it is not guaranteed to do so. The Bank of England Bank Rate can go up or down and is announced by the Bank of England's Monetary Policy Committee every month.
† Mortgage unemployment payment protection insurance is paid for by Bovis Homes and provided by Lloyds Syndicate 5820 whose managing agent is Jubilee Managing Agency Ltd and is subject to status and application.
The 90 per cent package has been designed by the insurance broking group Jardine Lloyd Thompson (JLT), where Bovis is paying for mortgage indemnity guarantee insurance which allows Barclays to take more risk.
*According to Moneyfacts the average two year fixed rate (90 per cent LTV) as at 9/5/11 was 5.98 per cent.
Barclays provides Woolwich mortgages for all other customers purchasing up to 85 per cent LTV.
Barclays is a major global financial services provider engaged in retail banking, credit cards, business insurance, corporate and investment banking offering business bank accounts and wealth management with an extensive international presence in Europe, the Americas, Africa and Asia. With over 300 years of history and expertise in banking, Barclays operates in over 50 countries and employs nearly 147,000 people. Barclays moves, lends, invests and protects money for 48 million customers and clients worldwide.
For further information about Barclays, please visit our website http://www.barclays.com.
# # #