The Leeds Building Society has revealed that borrowers with mortgages maturing in April 2020 could save almost £150 on their monthly mortgage payments by remortgaging in the New Year.
Industry data shows £184bn of mortgages will mature in 2020, with 139,935 maturing in April accounting for £20.9bn – the second largest single month of maturities across the next 12 months.
On average, borrowers with a mortgage maturity in April 2020 have an outstanding balance of £149,736 and almost 19 years left on their term.
The Leeds Building Society has launched new no-fee two and three year fixed rate deals, available up to 75% loan to value (LTV).
Matt Bartle (pictured), director of products at the Leeds Building Society, said: “Mortgage rates have reduced significantly over recent years so many borrowers coming to the end of their fixed terms will be able to access lower rates.
“Almost 140,000 mortgages will be maturing in April 2020 and these borrowers should be able to reduce their monthly payments significantly by remortgaging to a new deal.”
The new no-fee fixed rate products, which all come with free standard valuation and fees assisted legal services, include:
- 1.79% two year fixed rate up to 75% LTV
- 1.84% three year fixed rate up to 75% LTV
The Society has also reduced its five-year fixed rate up to 75% LTV by 0.05% to 1.89%.
The Leeds claims that a homeowner with the average outstanding capital moving onto the industry average reversion rate could save more than £1,700 a year by making use of the Society’s no-fee fixed rates.
Bartle added: “We know that financial resolutions are popular and many people start the New Year looking to save more money. Actively seeking a better mortgage deal on maturity is one way to reduce monthly outgoings and it is important borrowers give themselves enough time to find the best deals.
“We’ve used our experience and expertise to add two and three year deals to our no-fee product range, as well as reducing our existing five year fixed rate product, as we continue to meet the needs of borrowers and help more people have the home they want.”