The Nationwide Building Society has published details of the products and rates across its 90% loan to value (LTV) first-time buyer range.
From Monday 20 July, the following 90% LTV products will be open to first-time buyers with no set limit on the number available:
- Two-year fixed rates: 2.49% with a £999 fee; 2.74% with no fee
- Three-year fixed rates: 2.79% with a £999 fee; 2.99% with no fee
- Five-year fixed rates: 2.79% with a £999 fee; 2.99% with no fee
- Two-year tracker rates: 2.59% with a £999 fee; 2.84% with no fee
All products are available direct as well as via brokers.
As with all first-time buyer mortgages with the Nationwide, they come with £500 cashback and free valuations.
The Nationwide has put in place enhanced lending criteria for the new products. The property must be a house of at least two-years old, while applicants will be subject to enhanced affordability and credit score criteria. The maximum term is 25 years.
Henry Jordan, director of mortgages at the Nationwide Building Society, said: “Our return to the 90% market is aimed at helping people into a home of their own, but it is also important to give first-time buyers a choice to suit their personal situation. That is why we are launching a range of fixed and tracker rate mortgages with different term and fee options.
“Given the competitive rates on offer, we expect these to prove extremely popular when they launch on Monday. By not having a set limit on the number of mortgages available, we aim to help as many first-time buyers get a foot on the ladder as we can at a time many may feel like they have been frozen out.”
Meanwhile, on Thursday 16 July, the Nationwide will be increasing rates on its 85% LTV range by up to 0.45%, while rates on the Society’s shared equity range at 60% and 75% LTV range will increase by 0.15%.
Jordan added: “These rate changes reflect a continually evolving market but will also ensure that the Society can support all mortgage applications and maintain the levels of service expected of us, especially once our new 90% LTV range launches on Monday.”