Santander offering 2.74% five-year fix for mortgages up to £1.5 million

by Aaron Strutt

Jun 22 2022

Santander for Intermediaries offers a 2.74% rate for property purchases and remortgages, and it is fixed until 02 October 2027. Applicants will need a 25% deposit to qualify, and the maximum loan is £1.5 million.  

After the fixed period, the mortgage reverts to 3.25% over the Bank of England base rate (currently 1.25%), and a £999 arrangement fee and 5% early repayment charges apply.    

Aaron Strutt, product director at Trinity Financial, says: "Five-year fixes are much more expensive than they were, but for the moment, they are still available below 3%. The cheapest ten-year fixes are still available below 3%, but they probably won't be for much longer.

"Halifax, Virgin Money, NatWest and Accord Mortgages are just some of the lenders to increase rates over the last few days."

Representative example: A capital and interest mortgage of £300,000 payable over 30 years, initially on a fixed rate basis until 02 October 2027 at 2.54% and then on a Bank of England base rate tracker (BoE plus 3.25%) currently 4.50% for the remaining 25 years, 2.54% would require 63 monthly repayments of £1,473.10 followed by 297 payments of £1,473.10. The total amount repayable would be £515,827.52 made up of the loan amount, plus interest (£ 214,567.69) and £999 (product fee), £225 (final repayment charge), £35 (completion fee). The overall cost for comparison is 3.9% APRC representative.      

The actual rate available will depend on your circumstances. Please ask for a personalised mortgage illustration. Your mortgage is secured on your property. Your property may be repossessed if you do not keep up repayments on your mortgage  

Call Trinity Financial on 020 7016 0790 to secure a mortgage or book a consultation