Norwich & Peterborough Building Society (N&P) has launched two new mortgages. It is offering a 65% LTV two-year fixed rate mortgage at 1.94% and a 90% LTV two-year fixed rate with a rate of 3.39%.

Each has zero product fees, includes a free standard valuation and £200 cashback on completion.

Both mortgages are available for house purchase and remortgage customers, with the latter having the option to choose between £200 cashback on completion or free standard legal fees.

Richard Barker, product manager at N&P, said: “While it can be cheaper in certain circumstances to choose a mortgage with a very low rate and a higher up-front product fee, some borrowers are better off opting for lower-fee mortgages.

“With no product fee, free standard valuation and £200 cashback on completion which could be used to help meet the cost of legal fees, these mortgages are specifically designed to appeal to borrowers looking to minimise the upfront costs of taking out a mortgage.

“The 3.39% two-year fixed rate mortgage will be good news for first time buyers and removes some of the financial outlay people face when they first get on the property ladder, while the 1.94% two-year fixed rate for those with a 35% deposit is ideal for anyone moving home or remortaging and wanting to keep their costs down.

“We are always looking to provide competitive rates and value for money to borrowers and we are sure these mortgages meet those aims.”