Hanley Economic Building Society has introduced a new two-year fixed rate option to its retirement interest-only (RIO) product range. Additionally, the Society has reduced the rate on its fee-free 95% LTV residential two-year fixed rate product by 0.12%.
The two-year fixed rate RIO mortgage has a headline rate of 5.29%, available up to 65% LTV. This includes a free valuation, no application fee, an arrangement fee of £250 - deducted from the loan on completion - and no overpayment restrictions to help support borrowers in their later life lending requirements.
The product comes with a minimum loan size of £30,000 and a maximum loan size of £2,000,000 at 50% LTV and £1,500,000 at 65% LTV. It can be used for purchase and remortgage purposes and is only valid for applicants who are already retired and aged 55 or over.
The Society has further enhanced its higher LTV residential offering through a rate reduction of 0.12% on its fee-free 95% LTV two-year fixed rate product. This now has a headline rate of 5.45% – previously 5.57%.
In a bid to reduce upfront fees, this includes a free valuation, no application or arrangement fees, and £250 cashback paid on completion of the mortgage. It has a minimum loan size of £30,000, a maximum loan size of £500,000, and is available for purchase and remortgage purposes.
Both products are applicable for properties throughout England, Wales, and Scotland (Scottish Islands by referral). Each case will be assessed on an individual basis by the in-house underwriting team, meaning no credit scoring, and they are available through the Hanley Economic Building Society branch network and selected intermediary channels.
David Lownds, Head of Products and Marketing at Hanley Economic Building Society, commented:
"We are committed to supporting borrowers at all stages of their homeownership journey, whether they are purchasing their first property, moving up the ladder, or looking for later life lending solutions.
“The introduction of our two-year fixed rate RIO mortgage provides greater certainty for retirees looking to manage their finances effectively, while the rate reduction on our fee-free 95% LTV product ensures we continue to offer competitive short and medium term options for those borrowers with smaller deposits.
“These enhancements reaffirm our dedication to delivering flexible, accessible mortgage solutions that meet the ever-evolving needs of our customers."
