New fee-free mortgages for first-time buyers

First time buyers looking to buy a new home, may be interested the learn that the Halifax has launched a new two year, fee-free, fixed rate first-time buyer mortgage at a borrowing rate of 5.99%.

The lender wants to help more first-time buyers gain a foot on the property ladder in 2012 by offering to pay the fees on their mortgage, as well as offering cashback of £500 to help cover other costs of buying their first home.

According to Halifax, today's first time-buyer typically pays a product fee of around £995. Additionally, the mortgage lender is also offering £500 cashback, and an additional £150 on completion to its Current Account customers.

Stephen Noakes, mortgages director at Halifax, said: "Housing affordability is at an eight-year high for first-time buyers at the moment, largely as a consequence of the fall in house prices since 2007. However, buying a house has always been an expensive process and for first-time buyers every bit of help counts. By waiving the fees on this product, and offering £500 cashback, we can give first-time buyers the chance to put that money towards supplementing their deposit or purchase some essentials for their new home."

Fee-free re-mortgages

Clydesdale and Yorkshire Banks has also announced a boost for homeowners this week, by also launching of a fee-free mortgage offer.

The Banks are waiving arrangement fees for customers looking to take a new mortgage or switching to Clydesdale or Yorkshire Bank before Saturday 25th February.

This offer, which is available for a limited time, represents a saving of £999 which is the current re-mortgage arrangement fee, subject to a current borrowing rate starting from 3.29%.

In addition, customers re-mortgaging from another lender won't have to pay any legal or valuation fees if they use Clydesdale and Yorkshire Banks' appointed solicitors and valuers.

Steve Reid, Retail Director for Clydesdale Bank, said: "At Clydesdale and Yorkshire Banks we remain focused on offering a range of competitive products that meet the differing needs of our customers.

"Our fee free mortgage is designed to help people find the correct mortgage to suit their individual needs without having to pay an arrangement fee."