Norwich Union is widening its choice of mortgage products available to IFA's through its panel of lenders with the launch of three exceptional offers.
Norwich Union is widening its choice of mortgage products available to IFA's through its panel of lenders with the launch of three exceptional offers.
- 5.75% (7.8% APR) two year fixed rate up to 100 % LTV with no MIG
- 5.60% (6.9% APR) three year flexible fixed rate up to 90 % LTV
- 4.99% (7.2% APR) one year fix and two year discount up to 95 % LTV with a FREE Valuation
The 5.75% (7.8% APR) two year fixed rate runs until 3 March 2003 is one of the lowest fixed rates available to borrowers wishing to borrow up to 100% LTV.
The flexible 5.60% (6.9% APR) three year fixed rate runs until 1 April 2004 with no tie ins beyond the fixed rate with the added bonus that customers can repay up to 10% capital each year penalty free during the tie-in period and have the interest recalculated daily.
The fixed / discount option offers a fixed rate of 4.99% (7.2% APR) for the first year followed by a 1.80% discount in the second year and 1.30% in the third year. Again up to 10% capital can be repaid each year without penalty during the tie in period plus, a free valuation is available.
Jon Round, Head of Mortgage Development for Norwich Union, commented: " This is a tremendous package of mortgage products which delivers great value to borrowers whether it's a fixed, discounted or flexible mortgage they want. These products demonstrate our commitment to the IFA market by offering products to suit their clients' individual needs."
Each of the products offered is in association with different lenders. IFAs who wish to take advantage of any of these offers can contact Norwich Union on 0845 845 1388 for further details.
The offers in detail:
5.75% (7.8% APR) Fixed until 03/03/2003
Offered via Mortgage Express (subsidiary of Bradford & Bingley)
Procuration fee 0.25% (minimum Ł175)
Available up to 105% LTV (102% for first time buyers)
No MIG
Ł325 completion fee which can be added
Early Repayment penalty: 3 months interest at fixed rate until 03/03/2004
Available for house purchases only
Minimum loan Ł40,000
Maximum loan Ł250,000
Available in England, Scotland, Wales & Northern Ireland
No compulsory insurances
Typical example: 100%+ - 5.75% fixed until 3/3/2003
Based on a mortgage of Ł60,000 to buy a property valued at Ł60,000, repayable over 25 years (301 monthly payments) on an interest only basis. Initial loan to value 100% APR 7.8% (variable) and total amount payable of Ł174,513.76. The total amount includes:
| Legal fees | Ł146.88 | |
| Valuation fee | Ł191.88 | |
| Administration fee | Ł325.00 | |
| Sealing fee | Ł75.00 | |
| (charged on redemption, this covers storage, administration and release of mortgage documents) |
The example assumes that all payments are made when due throughout the term. It also assumes that there is no change in the Bank of England's current base of 6.00% throughout the term of the mortgage and no change to the value of the mortgaged property.
| Rate | Months | Gross Payment |
| 5.75% | 1 to 24 | Ł287.50 |
| 8.00% | 25 to 300 | Ł387.50 |
Also available on a repayment basis.
Loans are subject to status and to valuation approval by the Company. This loan will be secured on your home. Applicants must be 21 or over. Mortgage security is required. The interest rate is variable and so therefore is the APR. For loans that redeem (in full or in part) before 3/3/2004, the Company reserves the right to charge an early repayment fee of three months' interest at the fixed interest rate. Written quotations are available on request. Information correct as at 19/02/2001.
5.60% (6.9% APR) Flexible Fixed until 01/04/2004
Offered in association with Leeds & Holbeck Building Society
Procuration fee 0.3% (minimum Ł150)
Available up to 90% LTV for purchase and remortgage
Ł295 completion fee which can be added
Early repayment penalty: 3 months interest at fixed rate until 1st April 2004
10% of the original loan amount borrowed may be repaid without incurring any repayment fees each year for the first 3 years - then unlimited
Minimum valuation Ł25,001
Maximum loan Ł500,000
This product is portable
Available in England, Scotland, Wales & Northern Ireland
No compulsory insurances
Typical example: 5.60% (6.9% APR) Flexible Fixed until 01/04/2004
The APR of 6.9% is calculated on the basis of a Ł49,500 interest only mortgage on a property valued at Ł55,000 repaid over 25 years. 36 monthly payments of Ł231.00 assuming a rate of 5.60%, followed by 264 monthly payments of Ł284.63 assuming the rate reverts to the current Leeds & Holbeck Flexible Variable Rate of 6.90%. Total amount payable of Ł133,682.82 calculated to include Ł84,182.82 total interest payable, Ł164.50 legal fees, Ł175 valuation fee, Ł295 completion fee, Ł50 administration fee and Ł40 deeds release fee. Completion date 1st April 2001.
4.99% (7.2% APR) Fixed until 01/04/2002 followed by 1.80% discount to 01/04/2003 then 1.30% discount to 01/04/2004
Offered in association with Portman Building Society
Available up to 95% LTV for First Time Buyers, house purchase & remortgage
Procuration fee 0.35% (minimum Ł225)
Ł300 acceptance fee which can be added
Early Repayment Penalty: 5% of capital repaid until 1st April 2004
10% of the original loan amount borrowed may be [repaid without incurring any repayment fees in each 12 month period from 1st April to 1st April 2004. The yearly allowance cannot be accrued year on year.
Minimum loan Ł15,000 (Ł25,500 for remortgages)
Minimum valuation Ł30,000
Maximum loan Ł750,000
Available in England, mainland Scotland & Wales
No compulsory insurances
Typical example based on a fixed rate of 4.99% until 1st April 2002, followed by a 1.80% discount until 1st April 2003, followed by a 1.30% discount until 1st April 2004, using the Society's current Standard Variable Rate of 7.29% and assuming completion on 31st March 2001. The example below is based on an interest only mortgage of Ł75,000 over 25 years with a property value of Ł100,000; acceptance fee Ł300; legal fee Ł10; fund release fee Ł25 and sealing fee Ł55.
Gross monthly payments are 1 x Ł334.95; 11 x Ł311.88; 12 x Ł343.13; 12 x Ł374.38; 263 x Ł455.63 with a final gross payment of Ł75,510.63. Accrued interest Ł23.07 (gross) and total amount payable Ł208,232.07 (gross).
The property upon which the loan is required to be secured must be insured for the cost of replacement value.
These examples do not constitute a quotation or contract. Full written details, including a quotation are available on request. All loans are subject to status and satisfactory valuation. Loans are not available for persons under 18 years of age.
YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR OTHER LOAN SECURED ON IT.
Notes to editors:
1. IFAs can benefit from the buying power of one of the largest mortgage intermediaries in the UK, through enhanced mortgage products, enhanced procuration fees - with dedicated service and support.
2. Norwich Union is the UK life and general insurance trading brand of holding company, CGNU plc, which was created from the merger between CGU and Norwich Union on 30 May 2000.
3. Norwich Union is the UK's largest life and pension company (based on 2000 new premium income).
Press Office contacts:
James Evans
08703 66 68 78
Louisa Steel
08703 66 68 71