One of the challenges facing a first-time buyer looking for the best mortgage rate is the often high completion fees that contribute to the already heavy financial load of buying a house. Finding a no-fee mortgage can save you some financial stress as you tackle deposits, evaluation fees, and, depending on the price of the home you're buying, stamp duty. Because when all of these expenses are taken into account, the extra fees due on completion of the mortgage contract can be too much for a lot of people.
This is why the 95 LTV mortgage from the Leeds Building Society is our mortgage deal of the week. Not only does this mortgage require just a five-per-cent deposit, but it also comes with no completion or evaluation fees. The newly discounted mortgage rate is fixed for two years at 2.84 per cent (a discount of 0.40 per cent from the original rate), and if you choose not to switch at the end of the fixed-rate period, there's a 1.25 per cent discount off the variable rate for a further three years.
Matt Bartle, Director of Products at Leeds Building Society, said:
'Our 95% LTV mortgage has been designed with first time buyers in mind, and this latest rate reduction will be very appealing to those looking to get onto the property ladder this year.'
'We understand the importance of affordable housing, which is why we’re always looking for ways to help buyers with smaller deposits, alongside Help to Buy and Shared Ownership mortgages, which complement our range of deals at higher LTVs.'
Want to see what other options there are for you as a first-time buyer? We've partnered up with the online mortgage specialist Habito to bring you the best mortgage rates. Start your mortgage journey by having a go at their clever mortgage comparison tool below.