Leeds offers shared ownership mortgage to FTBs
Tuesday, 12 April 2011 4:07 PM
Leeds Building Society is launching a shared ownership mortgage designed to help first-time buyers onto the property ladder.
The initiative intends to assist people who do not have enough money to place the sizeable deposit required to purchase a full house.
Instead, they can cover part of the cost of the property with the help of a Leeds Building Society shared ownership mortgage.
This is available at up to 95 per cent of the householder's share of the property value, at a corresponding limit of 75 per cent of the total cost of the home.
Sales and marketing director Kim Rebecchi said: "There is no doubt that this product will prove attractive to those customers who are ready to make the first step into home ownership."
The mortgage offers a fixed rate of 6.19 per cent through until June 30th 2013, giving the borrower confidence about their repayments even if the Bank of England base rate rises from its historical low of 0.5 per cent.
Early repayment charges apply, but these taper from three per cent in year one to two per cent in year two.
The mortgage is also subject to a £199 booking fee, with a £200 completion fee which rises to one per cent of the transaction value on loans over £500,000.
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