Leeds Building Society has launched a two-year base rate tracker mortgage at 2.39%.

The product, which tracks the Bank of England base rate plus 1.89% until 31st December 2015, is available up to 75% loan to value (LTV).

This new offer allows 10% capital repayments each year without penalty and has no higher lending charge. This is combined with a free standard valuation up to £335 and free in-house legal services for standard re-mortgages.

It comes with a £199 booking fee and a £400 completion fee up to £500,000, 1.00% over £500,000

Kim Rebecchi, Leeds Building Society’s sales and marketing director, said: “The forward guidance policy issued by Mark Carney, the Governor of the Bank of England, states that the Bank of England base rate will not rise until unemployment falls below 7%.

“Our two-year Bank of England base rate tracker mortgage therefore offers excellent value immediately and going forward. We allow 10% capital repayments each year and there is no higher lending charge.

“The product, available at a current rate of just 2.39%, is also fully portable so if customers move home they can take it with them. The Society also offers a free standard valuation up to £335 and free in-house legal services for remortgages.”