Free legals and free valuation now part of Abbey’s core range

Following the success of Abbey’s no upfront costs mortgage campaign, Abbey is adding a version of the product – called the Premier Homebuyer Solution – to its permanent mortgage range. The product, which covers legal and valuation fees for customers, is worth in the region of £1,400 for the average customer. The product remains unique in the marketplace.

In a rising interest rate environment, the rates are competitive and the deal will help movers who want to keep upfront costs to a minimum. Customers can also choose whether they want to pay a booking fee or not, which can be up to £999. There are no extended tie-ins on the products.

Nici Audhlam-Gardiner, Abbey Head of Mortgages, said: “Our no upfront costs mortgage product proved so successful during the campaign period that we have decided to add a version of it to our range permanently. With no valuation fee and no legal fees, along with competitive rates, these products offer exceptional value as a solution for movers who find they are shelling out left, right and centre on expenses relating to their move. With the Premier Homebuyer Solution, they don’t have to worry about their legal and valuation costs.”

The rates on the product are as follows:

2 year fix with no fee at 7.14% - direct
2 year fix with £499 fee at 6.69% - direct
5 year fix with £599 fee at 6.73% - direct
2 year fix with no fee at 6.95% - via a broker
2 year fix with £999 fee at 6.29% - via a broker
5 year fix with £599 fee at 6.44% - via a broker

Abbey also announces new rates on a number of its fixed rate mortgages. These mortgage rates have risen on average by 0.25 per cent in line with the recent base rate increase. The lowest two-year fixed rate mortgage currently available through a broker is 5.79 per cent with a booking fee, or 6.24 per cent without a booking fee.

Tracker rate mortgages have moved in line with the base rate and existing customers will also see the Standard Variable Rate increase by 0.25 per cent to 7.84 per cent from the beginning of August 2007.