Legal & General two-year fixed-rate mortgage brings 'peace of mind'

Date:Thursday 18th March 2010

Martyn Smith, head of mortgage products for the organisation, said the election and a risk of inflation had created a lot of uncertainty in the housing market for this year and borrowers would be "pleased" with these fixed rates.

He added: "The gap between pricing of variable and fixed products is now significant, perhaps larger than it has been for quite some time."

The product is provided by lending partner Accord, which has announced its plan to increase loans for this year.

Legal and General will offer a choice between a fixed-rate mortgage of 3.34 per cent and 4.64 per cent.

One will have a loan-to-value (LTV) ratio of 75 percent and the second an 85 per cent LTV.

An Adviser Confidence Index Q1 2010 undertaken by the lender has shown that 54 per cent of mortgage advisers think business would improve in the second financial quarter.