Halifax launches NewBuy 95% LTV deals

By | 16 Apr 2012 | Be the first to comment

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Halifax has become the fourth lender to launch a product range to support its participation in the NewBuy scheme.

Other lenders including the Royal Bank of Scotland, Nationwide and Barclays, all launched NewBuy mortgages last month, while Santander announced that it would launch products later in the year.

Halifax's NewBuy products are available from today through its branch network and selected intermediaries.

The deals are designed for borrowers with a 5% to 10% deposit purchasing a new-build property from the selected housebuilders. Products include a two-year fixed mortgage at 5.99% with a £999 fee and a two-year fixed mortgage at 6.39%, with no product fee.

There is no mortgage account fee of £265 payable on either product.

NatWest's NewBuy range is the most competitively priced with its two-year fixed rate at 4.29%, however the product is only available direct through its call centre.

Nationwide has made its deals available through intermediaries only and Barclays said its deals will be primarily sold through IFAs.

Stephen Noakes, mortgage director at Halifax said,

"As the leading lender in the new-build market, we're proud to supporting the NewBuy scheme. NewBuy will put the purchase of a new-build home back within the grasp of both first time buyers and homemovers, and will give a much needed boost to housing supply."

Housing Minister Grant Shapps added:

"The NewBuy Guarantee is offering help for thousands of people who in many cases had previously given up on the dream of home ownership. Thanks to the agreements we are striking with lenders and builders across the industry, those aspiring to get on the property ladder are now able to do so with a fraction of the deposit they would otherwise require.

"With more lenders and builders looking to join the scheme, customers will have a wide range of options to choose from when buying their newly-built home."

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