Yorkshire Building Society is launching a range of two-year mortgages to help first-time buyers (FTBs) take their first steps on the property ladder.
Prospective homeowners with a 5%, 10% and 15% deposit will be granted high loan-to-value (LTV) home loans, while the new two-year fixed rate range including a 1.99% at 85% LTV, 2.39% at 90% LTV and 3.89% at 95% will also be an option exclusive to FTBs.
The mortgages have a £495 fee and will include £500 cashback on completion along with free standard valuations.
Charles Mungroo, mortgage manager at Yorkshire Building Society, stated that the bank is committed to helping people reach their homeownership ambitions. He said: “We hope these mortgages tailored to those with smaller deposits will really appeal to aspiring homeowners.”
“We know that it is getting harder for young people to buy a home, and many rely on financial support from their parents to make this dream a reality,” he continued. “However, research we recently undertook revealed that this can put a strain on family relationships with many new borrowers feeling guilty for tapping into the Bank of Mum and Dad.”
“We hope the combination of low rates and additional features, designed to help with the upfront costs of moving into a property, will make the plight of buying your own home a little easier.”