Skipton Joins the 95% Mortgage Market

The Skipton Building Society has launched a 95% mortgage aimed at first time buyers.  This LTV is high and there are only a couple of 95% mortgage deals out there, so this may be a welcome product even if it is expensive.

This is a direct from the society only deal with an arrangement fee of £995.  The 2 year fixed rate for the 95% mortgage is 6.99% for existing customers, or 7.19% for new customers.

Customers are allowed to make overpayments of up to 10% of the property value, but there is an early repayment charge of 3% for those wanted to move product before the end of the fixed term.

A concern with this lender is that they promised their rates would never be more than 3% above the base rate, but it is currently 3.95%.  Therefore the reverting rate here being 4.45% looks appealing but the criteria may change by the end of the fixed rate for this 95% mortgage deal.

Related posts:

1. 95% Mortgages – More Local 95% Mortgages April 2010
2. 90% Mortgages in Feb 2010 from Newcastle
3. Discount Mortgages – New Discount Mortgage From N&P
4. Nationwide Offers New 125% Mortgage
5. 100 Percent Mortgages 2010 – Society Offers 100 Percent Mortgages