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Yorkshire Building Society returns to tracker mortgage market

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New mortgage deals have been announced by Yorkshire Building Society as it returns to the tracker mortgage market with products with up to 75 per cent loan-to-value .

The two and three-year mortgages have interest rates of 3.39 and 3.59 per cent with minimum rates of three and 3.09 per cent respectively.

A cap of 5.39 per cent has been placed on the two-year mortgage, which is normally priced at 2.89 per cent above the Bank of England's base rate, and a cap of 5.59 per cent has been placed on the three-year mortgage, which is normally priced at 3.09 per cent above the base rate.

The tracker mortgages are available for house purchases and remortgaging and a legal service comes free with the latter.

Tom Girling, mortgage product manager for Yorkshire Building Society, said: By combining a cap, a competitive rate and a sub �1,000 application fee we believe that these products offer the best combination of value in the market.

Mortgage customers have recently been urged by broker Money Workout to cap their tracker rates now, with the firm telling the Daily Telegraph that loan-to-value ratios may increase within a few months.

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