Leicestershire-based mutual has launched a product which offers a two-year fixed period at 3.14% and a further three years at 3.99%. The mortgage will then revert to the society’s standard variable rate.

The new deal is aimed at first-time buyers and second steppers, available to borrowers with a 10% deposit. There are no early repayment charges and the loan is available on properties worth between is £50,000 and £275,000.

However, the mortgage is only available through mortgage brokers and both a £199 arrangement fee and £800 completion fee applies.

Hinckley & Rugby chief executive Chris White said: “This new mortgage completes our range of reversionary mortgages that offer customers the certainty of a fix followed by the value of a discounted rate.”

Elsewhere, Teachers Building Society has lowered the rate on its new buy-to-let products, with rates now starting from 2.59%.

These deals are available through brokers and directly from the building society. However, only those working in the teaching profession or based in Dorset, Hampshire or Wiltshire may apply.

James Bawa, chief executive of Teachers Building Society, said: “We are constantly amending our products to make sure they suit the needs of our customers – teachers and Wessex residents – and to ensure we provide the best rates and discounts that we can to meet these ever-changing needs.”