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First-time Buyers

Leeds launches two new 5% deposit mortgages

Christina Hoghton
Written By:
Christina Hoghton
Posted:
Updated:
27/02/2024

The building society has introduced the fixed rate 95% mortgages to support first-time buyers

Leeds Building Society has launched two 95% LTV mortgages to support homebuyers with smaller deposits.

The mutual has made the new fixed rate deals available to those with just 5% upfront.

The 95% LTV mortgages are:

  • A two-year fixed rate of 5.57%, with no completion fee
  • A two-year fixed rate of 5.37%, with a £999 completion fee

Each is available for purchases only and comes with a free standard valuation. Both products allow 10% capital overpayments each year without penalty.

The lender has also introduced a fee-free, two-year fix up to 65% of the property’s value for those with a larger deposit. The purchase and remortgage deal is priced at 4.62% and comes with a free standard valuation.

Jonathan Thompson, senior mortgage manager at Leeds Building Society, said: “We consistently see strong demand for higher LTV deals and this traditional product is probably the first type of mortgage many potential first-time buyers might consider.

“After helping 18,000 first-time buyers last year, we remain focused on supporting this group to deliver on our purpose of putting home ownership within reach for more people.

“In the current rising rate environment, fixed rate mortgages remain popular across all LTVs.

“For that reason, the Society also has introduced a new lower LTV two year fix – at 4.62% up to 65% LTV, with no completion fee – for home purchase or remortgage.”