Chelsea takes the 10 year fix below 4%

Chelsea Building Society is maintaining its reputation for the most competitive fixed rate mortgages on the market with more best buy rates for borrowers looking for a medium or longer term fix.

From today (Friday, 26th August), the Chelsea will offer a 10 year fixed rate mortgage at 3.99% and has cut its innovative 5, 6, 7 mortgage, where the borrower chooses the term, to 3.69%. Both products are for loans at 70% LTV and are available across all channels.

The 5, 6, 7 mortgage products have a £195 fee while the 3.99% 10 year fix has a fee of £1,495. A 10 year fixed rate deal of 4.19% comes with a £195 fee.

Chelsea Building Society's Group Direct Mortgage Manager Chris Smith said: "The 5, 6, 7 mortgage has proved extremely successful since we launched this new product a month ago.

"The 7 year option was unique when we launched it and has been the most popular - more customers have chosen this from the choice of the three terms, so we are responding to that demand for longer term fixes by reducing the rates on the 10 year product.

"On the back of further falls in swap rates we are able to pass these savings onto our members."

Chelsea Building Society launched the first of its new range of highly competitive mortgage products in May, following its successful integration with Yorkshire Building Society. The two mutuals merged on 1st April last year.

Since May, Chelsea has taken five year fixed rate mortgages to their lowest-ever interest rate - 3.39%, which has been cut further today to 3.29%.

In addition, the society still heads the best buy tables for two year fixed rate and tracker mortgages.