Discount Rate Mortgages / Discounted Mortgages

What is a Discount Rate Mortgage / Discounted Mortgage?
Discount Rate Mortgages or Discounted Mortgages provide a guaranteed discount to the lender’s basic variable rate for a specified period. Early repayment will usually require the repayment of all discount enjoyed by the borrower.

Discounting is often offered to increase market share in a particular borrowing segment, or to increase lending volumes in general.