Our Buy for University Term Discount Mortgage includes a discount of 1.75% from the Society’s standard variable mortgage interest rate, currently 7.94%, for the term of the mortgage. The interest rate charged cannot go below 3.50%..
This product is available to applicants who are University/college students in tertiary education, with at least 1 full academic year remaining of the course on completion of the mortgage, assisted by a family member to purchase accomodation for their own use in the city/town of study in mainland England or Wales.
for comparison
Buy for University – Term Discount
Representative Example
6.19%
6.5% APRC
100%
£499
Further information
Advance
Minimum £90,000: Maximum £400,000
Loan to Value (LTV)
100% – The maximum LTV’s are subject to the Society’s lending policy.
Term
Minimum 1 year: Maximum 7 years
Availability
This product is available to applicants who are University/college students in tertiary education, with at least 1 full academic year remaining of the course on completion of the mortgage, assisted by a family member to purchase accommodation for their own use in their city / town of study, and;
- Will need a non-owning joint borrower by way of a parent, step-parent or grandparent to support their ability to meet affordability criteria and maintain their mortgage repayment commitments.
- Will need help with their deposit which will be provided by:
- a cash deposit held in an Assisted Purchase Savings Account with the Society secured by a Security Deposit Agreement; and/or
- security in the form of property secured by a collateral mortgage deed in favour of the Society
The value of the cash deposit must not be less than 20% of the purchase price or valuation, whichever is lower.
All applications are subject to the Society’s lending criteria, property value and satisfactory status enquiries. This product is a limited edition and cannot be guaranteed until an application has been received and accepted for processing.
Portability
This mortgage product is not portable.
Free Valuation
The Society will pay the cost of a standard mortgage valuation fee.
Important Information
The interest rate charged cannot go below 3.50%.
Full Repayment
No early repayment charges apply.
Partial Lump Sum Repayment
Repayments of any amount are permitted.
Valuation Fee
The Society will pay the cost of a standard mortgage valuation for the mortgaged property and where applicable the valuation of the property providing the collateral charge.
Product Fee
A fee of £499.00 is payable. This fee can be added to the loan (subject to LTV limits).
CHAPS Fee
On completion, the advance will be released to the appointed Solicitor by CHAPS (Clearing House Automated Payment Service). This is at a cost to the borrower of £10.00.
Mortgage Exit Administration Fee /Additional Fees
£85.00 Redemption Administration Fee. Additional administration fees may apply during the life of your mortgage. Details of these can be found in the Tariff of Charges leaflet.
The Loughborough mortgage service is tailored to each individual and offered on a fully advised basis where applicable. Our qualified advisers will spend time with you to understand your mortgage needs and financial circumstances before recommending the most suitable solution for you.
To get in touch with our mortgage team either telephone us on 01509 631950, email at [email protected] or request a call back.
