Two-year fixed rates on offer

PORTMAN and National & Provincial building societies have both launched competitive two-year fixed rate mortgages aimed at borrowers who can put up a substantial deposit.

The Portman's fix is pegged at 6.25 per cent and lasts until the end of April 1995. The offer is only available on loans of up to 75 per cent of the property value. N&P has a lower rate of 5.95 per cent but a lower maximum advance of 60 per cent. Arrangement fee in both cases is pounds 250.

For first-time buyers who want to borrow up to 95 per cent, Birmingham Midshires has launched its Sure Start mortgage for loans between pounds 15,000 and pounds 75,000. Sure Start is available in the North-west, West Midlands and South-west.

For the first six months borrowers will get a 2.25 per cent discount off the variable rate. At present this would bring them down from 7.99 to 5.74 per cent.