Skipton Building Society has released a suite of products for first-time buyers in response to its first affordability index report.
The mutual released data today which showed just an eighth of first-time buyers were able to purchase a home in their local area.
Skipton Building Society has launched a five-year fix available up to 95% LTV priced at 5.89%. This has no fee and offers £1,500 cashback.
There is also a fee-free, two-year fix up to 90% LTV with a rate of 6.09% and a corresponding five-year fixed deal priced at 5.69%.
The mortgages have an income booster option, the mutual’s version of a joint borrower sole proprietor mortgage, and a free valuation. Terms of up to 40 years are available and Skipton Building Society will lend up to 5.5 times loan to income.
Charlotte Harrison, CEO of home financing at Skipton Building Society, said: “Everyone should have somewhere to call home, but achieving that today is an insurmountable struggle for far too many.
“And today a clear picture has emerged from Skipton Group’s Home Affordability Index out today showing the enormous struggle facing renters and first-time buyers across the country, with only one in eight potential first-time buyers in Great Britain being able to purchase the average first-time buyer property in their area.”
She added: “The challenge for first-time buyers in particular is urgent, and while it demands coordinated innovation and collaboration, we at Skipton want to do our bit.
“We know it’s all very well highlighting key housing issues, but this doesn’t help anyone if you don’t spend time exploring and investing in the solutions. Which is why, today I’m pleased to announce our new range of first-time buyer products, to help get more first-time buyers onto the property ladder.”
Skipton Building Society has also released a new savings product, the Home Deposit Saver, which pays a variable interest rate of 5.06% and requires a deposit of £500 a month, which can be rolled over if a month is missed.
It has a two-year term with a maximum balance of £12,000 and no withdrawals are allowed but closures are.
The account is open to all customers, both new and existing, and Skipton Building Society permits one account per customer.
Shekina is the deputy editor at Mortgage Solutions and commercial editor at Mortgage Solutions and Specialist Lending Solutions. She has nearly eight years of experience in the B2B publishing market, having previously covered the hospitality, retail, pet, accounting and jewellery sectors.
Shekina has worked for Mortgage Solutions and Specialist Lending Solutions for almost five years. Here, she covers the market’s breaking news stories, engages with professionals in the sector, and oversees any commercially agreed content in partnership with mortgage-related companies.
This includes presenting webinars and hosting roundtable discussions on developing themes in the mortgage sector.
She is an NCTJ-trained journalist and was nominated for the Headline Money Awards Mortgage Journalist of the Year in 2021.
In her spare time, Shekina likes to read, travel, listen to music and socialise with friends.
She currently reports on current events in the mortgage market and liaises with financial clients to produce sponsored content.
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