The deal has a fee of £1,495 and is available direct only.
Chelsea, Yorkshire Building Society’s subsidiary, is also offering a ten-year fixed rate deal at 4.19% with a £195 fee.
In addition, it has reduced the rate on its 5, 6, 7 mortgage to 3.69%, available up to 70% LTV. The deal allows borrowers to choose the length of the term and comes with a £195 fee.
Chris Smith, group direct mortgage manager at the Chelsea, said: “The 5, 6, 7 mortgage has proved extremely successful since we launched this new product a month ago.
“The seven-year option was unique when we launched it and has been the most popular. More customers have chosen this from the choice of the three terms, so we are responding to that demand for longer term fixes by reducing the rates on the ten-year product.
“On the back of further falls in swap rates we are able to pass these savings onto our members.”
