Newcastle Intermediaries has launched what it claims is a unique “no fees and no hassle” mortgage covering all set-up fees including legal costs.
The building society's ‘All In One’ deal is available both for remortgages and house purchases.
The lender said that standard conveyancing fees can often take home buyers by surprise, adding unexpected cost into the financing element of home ownership.
It new product, which is an extension to Newcastle's current remortgage range, will cover all of these costs.
The mortgage charges a two-year fixed rate of 2.59%, available up to a maximum 80% LTV. It will have no legal fees or valuation fees, and product fees have been scrapped as well.
The product is available to Sesame, Openwork, L&G, Intrinsic, First Complete, Pink Home Loans, The Mortgage Alliance, Premier Mortgage Services, SimplyBiz Mortgages and Tenet.
The ‘All In One’ product aims to help borrowers budget better by taking care of all the setting up costs of taking out a mortgage, while offering a competitive rate of interest.
Newcastle will also instruct one of its approved solicitors to arrange completion of their purchase or remortgage on the borrower's behalf, speeding up the process.
Stephen Marks, corporate development executive at Newcastle Intermediaries, said a competitive mortgage rate is important but borrowers also want to understand at a glance what their costs will be.
“That’s why we’ve called our new addition to the range the ‘All In One’ because it covers all the customers legal, valuation and products fees whilst also taking care of the hassle of instructing a solicitors to carry out the conveyancing. All they have to think about is the monthly payments.”
The ‘All In One’ mortgage charges a fixed 2.59% until 31.01.2018 followed by Newcastle’s standard variable rate which is currently 5.99%.
There are early repayment charges for the first two years and the maximum loan amount is £500,000.