Lender cuts cost of fixed-rate mortgage

Posted: 30 May 2008 13:17:31 GMT

First-time buyers and homeowners looking to re-mortgage could take advantage of a major lender's reduced fixed-rate mortgage deal.

First-time buyers and homeowners looking to re-mortgage could take advantage of a major lender's reduced fixed-rate mortgage deal.

The online bank, first direct, announced yesterday (May 29th) that they will be cutting the cost of their two-year fixed-rate standard and low rate mortgages.

Chris Pilling, chief executive at first direct, said: "We regularly review our fixed-rate mortgage offers to make sure they're competitive. Today, we're reducing the cost of our popular two-year fixed-rates, which is likely to give them a prominent place in the best buy tables."

Having recently won the What Mortgage Best Direct Lender 2008 award, the bank was clearly keen to consolidate its position in the marketplace.

Non-customers will be able to take advantage of the bank's new fixed-rate offering as first direct resumed mortgage sales to them earlier in the month.

The news comes in the wake of research published last month by the Mortgage Lenders Association that revealed the share of the mortgage market taken up by first-time buyers rose to 11 per cent.


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