Gatehouse Bank has introduced new home finance products available to homebuyers with a smaller deposit.
The bank’s new Home Purchase Plans (HPP) offer finance-to-value (FTV) up to 90% and 95%, with the latter only available to UK resident first-time buyers.
The 90% FTV product will also be available to home movers and those refinancing their property. Customers will be able to access funding of between £100,000 and £500,000.
Home finance under both FTVs is available with two-year and five-year fixed term rates, starting at 4.25% for two years at 90% FTV.
As with Gatehouse’s other HPP products, there are no early payment charges, and every application is individually reviewed by human underwriters.
John Mace, product manager at Gatehouse Bank, said: “We are delighted to be expanding our home finance range to include products for first-time buyers and those with a smaller deposit. This launch follows a significant number of enquiries from customers who are looking to move into their first home or refinance.
“The property market has been incredibly busy this year, and in some regions house prices have risen steeply, making it ever-more challenging for first-time buyers to save a large enough deposit.
“We believe the launch of our ethical home finance products with higher finance to value will prove attractive and enable many first-time buyers to take their first steps onto the property ladder.”