Cashpoint

Yorkshire Building Society has kicked off the New Year with an excellent deal for those with smaller deposits and looking to fix their mortgage repayments over the longer term.

The five-year fix at 2.03% for borrowers with a 15% deposit is market-leading and comes with a reasonable £995 fee for the length of the term. Buyers with just a 10% deposit can get 2.55% for five years with no fee from Principality Building Society.

Meanwhile, the best buy five-year deal is 1.65% from Principality, but it’s only available for those with a 35% deposit and comes with a £1,395 fee.

There is still chatter that we could see more base rate rises this year, so locking in for five years could make good financial sense. Andrew Hagger from personal finance site Moneycomms.co.uk, says: “If you’re on your lender’s standard variable rate, you are paying over the odds for your home loan. There are plenty of low-price fixed rates from two to five years. Speak to an independent broker to get the right loan.”