Leeds introduces shared ownership mortgage

Leeds Building Society has launched a new shared ownership mortgage product designed to help first-time buyers onto the housing ladder.

The product offers a fixed-rate for shared ownership of 6.99 per cent, described as "competitive" by the lender.

It has an overall maximum loan-to-value of 75 per cent, with a maximum borrower share of 80 per cent.

Paul Kaye, Leeds Building Society's general manager for sales, said he is well aware of the difficulties facing first-time buyers purchasing a home.

"They can often struggle to meet the full asking price or their current income is insufficient to support a full mortgage," he stated.

"This shared ownership product facilitates that first step, and provides a starting point to staircase up to full home ownership as earning potential increases."

Mr Kaye said there is "no doubt" that this product will prove attractive to many young customers.

Last week, Yorkshire Building Society introduced a two-year fixed mortgage at 2.89 per cent.

Moneyextra.com recommends you take independent financial advice before acting on any article

Back

2010-06-28 10:36:07 © Moneyextra.com