Coventry Building Society launches 95% mortgages
Coventry Building Society has launched a first-time buyer range up to 95 per cent loan to value (LTV) and opened up its lending policy on gifted deposits and probation periods.
Highlights of the range include a 3.49 per cent five-year fixed rate up to 95 per cent LTV and a 2.45 per cent two-year fix up to 90 per cent LTV. Both deals come with no product fees and £500 cashback.
The society has also made changes to its first-time buyer lending policy to bring it in line with owner occupier criteria.
For acceptable gifted deposits, Coventry has extended its definition of close relative. It now includes; parents, grandparents, siblings, aunt/uncle, niece/nephew, cousins, children/step children.
A second charge can be registered against the property title to protect the donated funds.
First-time-buyers can also apply for a mortgage before they’ve finished their probation period. Like owner occupiers, first-time buyers still on probation in a new job must be able to prove they have been employed in a similar role for at least six months.
Jonathan Stinton, spokesperson for Coventry Building Society, said: “It’s a really challenging time to be taking that all-important first step on the property ladder, with rising house prices and the difficulties of saving for a deposit. We’re fully committed to supporting first-time buyers. We’ve significantly increased our lending in this area this year and our new mortgage range will enable us to help more people buy their first home.”