Norwich & Peterborough Building Society (N&P) is launching a new, low fee three year fixed rate mortgage at a best buy rate of 2.49%.

The mortgage, which is available up to 60% LTV (loan to value), is launched on Wednesday, 24 April.

In addition to the competitive rate, borrowers wanting to reduce their upfront costs will be tempted by a low fee of £295 and incentives including free valuation, and either free legal fees for re-mortgages or £200 cashback for home buyers.

“N&P is increasingly becoming known for competitive deals with low fees and this newest three year product complements our two year and five year fixed rate mortgages at 60% LTV,” said N&P product manager Richard Barker.

“The costs associated completing a mortgage can add up and, in the case of remortgaging in particular, may even deter homeowners from switching to a better deal which will save them money.”

Borrowers can overpay up to 10% of their mortgage each year without penalty, up to an annual limit of £10,000.

Tags: investments, mortgages