Help to Buy London range launched at Nationwide

Nationwide Building Society has announced that from today it will be launching a new range of shared equity mortgage deals, which covers the Help to Buy London scheme.

Related topics:  Finance
Warren Lewis
28th January 2016
Nationwide 2

An extension of the existing Help to Buy Equity Loan scheme in England, the London scheme will be open for mortgage applications from 1 February.

Nationwide is also launching a separate shared equity range, with also covers the Help to Buy schemes. From Wednesday 27 January, the 2 year fixed rate products at 60% LTV will be 1.89% with a £999 fee and 2.29% with no fee. At 75% LTV, 2 year fixed rates start at 1.99% with a £999 fee and 2.39% with no fee.

Rates for the 5 year fixed rate shared equity products start at 2.64% for those up to 60% LTV with a £999 fee and 2.84% with no fee. At 75% LTV, rates start at 2.74% with a £999 fee and 2.94% with no fee.

With the 2 year tracker mortgages deals, shared equity products start at 1.64% with a £999 fee and 2.04% with no fee up to 60% LTV. These tracker products are free of early redemption charges.

Borrowers in the London boroughs will be able to apply for an equity loan of up to 40%, compared to 20% with the original scheme.

The maximum property price for the scheme in England remains at £600,000, including in Greater London, with different thresholds for the schemes in Scotland and Wales. More than three quarters of Help to Buy Equity Loan borrowers are first time buyers, who qualify a £500 cashback on a Nationwide mortgage deal, with or without a fee.

In addition, all Nationwide mortgage applicants can access a fee-free standard valuation, plus a further £250 cashback if they have a Nationwide Flex main current account.

Henry Jordan, Nationwide’s Head of Mortgages, said: “Nationwide is launching a range of competitive shared equity products ahead of the launch of the expanded London Help to Buy scheme, enabling homebuyers to access a choice of mortgage deals with fee-free valuations as well as a £500 cashback for first time buyers. The Society has provided a substantial proportion of mortgages for the Help to Buy Equity Loan scheme since its launch, and will continue to do so as it is expanded, continuing to help first time buyers and home movers to secure a home of their own.”

More like this
Latest from Financial Reporter
Latest from Protection Reporter
CLOSE
Subscribe
to our newsletter

Join a community of over 20,000 landlords and property specialists and keep up-to-date with industry news and upcoming events via our newsletter.