Variable Mortgage Rates

A Variable Mortgage Rate is a mortgage interest rate which can move up or down at any time.  This means that the amount of the monthly mortgage payment will go up or down with movements in the variable interest rate. 

Most lenders (including Furness Building society) offer variable mortgage rates.  These rates can be varied at the discretion of the lender.  They commonly change when there is a change in a market rate (such as the Bank of England Base Rate), but there does not have to be a change in a market rate for the variable mortgage rate to change.  Your Mortgage Conditions will include a list of reasons why your interest rate might change and these are available to you at any time on your request.

Some mortgages also have a 'floor rate'.  This means that whatever happens to interest rates, the rate on the mortgage account will never fall below this rate (or 'floor').

Variable mortgage rates are sometime described as 'underlying rates', this is because lenders offer mortgages which give the borrower an incentive for a number of years (often 2,3 or 5 years) at the start of the mortgage.  Common product incentives include a starting rate which is fixed for a period of time or a starting rate which offers a discount from an 'underlying rate' for a period of time.  At the end of the period, the incentive ends and the rate payable on the account becomes the 'underlying rate'.

Types of Variable Mortgage Rates at Furness Building Society

Furness Building Society has four types of Variable Mortgage Rate

  1. A Standard Variable Rate (SVR)
     
  2. A Buy to let Standard Variable Rate (BTL SVR)
     
  3. A Mortgage Variable Rate (MVR)
     
  4. A Buy to Let Mortgage Variable Rate (BTL MVR)

These rates may change by different amounts at different times.

Customers with Variable Rate Mortgages

Some customers will have a mortgage product which will move to one of the Variable Rates or 'underlying rates' above when their introductory fixed, tracker or discounted deal comes to an end.

The Variable rate you pay is shown on your mortgage offer.

If you are an existing mortgage customer and you are not sure what type of mortgage you have, please contact Furness Direct on 0800 220 568

If you are an existing customer considering a rate switch you should speak to one of our mortgage advisers on 0800 220 568.

It is important that you understand the implications of changing from an SVR to an MVR mortgage as, once you have made the change, you will not be able to transfer back to an SVR product.  Our mortgage advisers are trained to help you understood the implications and to answer your questions.

  Standard Variable Rate Mortgage Variable Rate Buy to let Standard Variable Rate Buy to Let Mortgage Variable Rate

Current Rate

5.69% (variable)
Set by Furness Building Society from time to time
5.79% (variable)
Set by Furness Building
Society from time to
time
5.69% (variable)
Set by Furness Building Society from time to time
5.79% (variable)
Set by Furness Building Society from time to time

Applies to
 
Residential Mortgages Residential Mortgages Buy to Let Mortgages Buy to Let Mortgages
Relates to mortgage, further borrowing and product switch applications received Before 01/05/2014 On or after 01/05/2014 Before 01/05/2014 On or after 01/05/2014

 

Like most websites Furness Building Society use cookies, and in order to continually improve our website, we collect non-personal data through cookies. By continuing to use the website you are accepting the use of these cookies. To find out more read our Cookie Policy.