The Leeds Building Society has introduced a new two year fixed rate mortgage at 1.74%.

The mortgage is available up to 65% LTV (loan to value) and comes with the benefit of a free standard valuation up to £560 and fees assisted legal services for standard remortgages.

There is an £800 fee, while 10% penalty free capital repayments are allowed each year.

“Two year fixed rate mortgages remain extremely popular with borrowers as they offer a degree of certainty about their monthly repayments in the short term,” said Martin Richardson (pictured), Leeds Building Society’s general manager – business development.

“The current low interest rate environment is expected to be with us for perhaps 12 more months at least, which makes fixing your mortgage attractive while deals are so competitive.

“However, uncertainty ahead of the forthcoming General Election – combined with financial and political instability elsewhere, particularly in Europe – may be making borrowers choose shorter-term fixes as they’re less willing to commit too far ahead into the future.”