"The low rate could appeal to borrowers who want to reduce the cost of their monthly repayments, or who are looking to borrow a larger than average amount on their home loan."
The product is available at a rate of 2.01% and comes with a £1,995 completion fee.
The Yorkshire’s fee-free options at 85% LTV start from 2.36%.
Yorkshire Building Society reported a 44% rise in the number of borrowers choosing five-year fixed deals in 2018 compared to the previous year, which it says could be a result of the looming deadline for the UK to leave the EU.
Charles Mungroo, senior mortgage manager at Yorkshire Building Society, said: “Our mortgages come in a variety of shapes and sizes as we aim to cater for a number of homeowners’ needs.
“While the fee on this particular mortgage is higher than most others in our range, the low rate could appeal to borrowers who want to reduce the cost of their monthly repayments, or who are looking to borrow a larger than average amount on their home loan.
“Amid continued political uncertainty we’re seeing borrowers keen to secure new longer-term deals that will see them through Brexit and beyond. Our five and seven year fixed rate mortgages in particular are proving popular, which is why we’re responding to demand and giving people more choice with a new range of competitive mortgages.”
Rachel Springall, finance expert at Moneyfacts, commented: “This new deal from Yorkshire Building Society is likely to delight borrowers who are looking for a competitive rate with a trusted brand. During times of economic uncertainty, borrowers may well be considering a long-term fixed mortgage for peace of mind.
“This deal is currently priced as the lowest in its sector, but as with any deal, borrowers would be wise to work out the overall true cost of any mortgage before they commit.”
