A discount rate mortgage is a home loan secured against a property where the cost of repayments is reduced for a fixed term. Discount rate mortgages are a good alternative for first time buyers and young homeowners as the benefits include early reduction in payments and after the usual discount period of two years is up, higher payments can be made. Typical features of a discount rate mortgage include:
It is worth remembering that when your discount rate mortgage period ends, repayments will revert back to the standard rate. For a range of competitive discount rate mortgage quotes, use our mortgage comparison service and see who can offer the best rates for your circumstances.