Nationwide is relaunching 90% mortgages to first-time buyers
Nationwide has announced it will increase its mortgage lending limit to 90% of a property’s value.
The building society is making the change to support first-time buyers and help more people benefit from the stamp duty freeze recently announced by government on properties up to £500,000.
The Society’s 90% mortgages for first-time buyers will be available direct with Nationwide (telephone, in branch and online) as well as through mortgage brokers from Monday 20th July.
Henry Jordan, director of mortgages at Nationwide, said: “First-time buyers are vital to breathing life into the housing market and economy. We understand one of the biggest barriers to homeownership is raising a deposit.
“While we will continue to monitor the market carefully, we feel it is the right time to enhance our lending, initially to those looking for their first home.”
Miles Shipside, commercial director at Rightmove, added: “The ability for lenders to offer lower deposit mortgages to first-time buyers is critical to helping the market recover more quickly. The stamp duty holiday is of limited benefit to those first-time buyers who are already exempt from it in many parts of the country, and so Nationwide’s return to 90% loan-to-value is likely to help significantly more for those trying to get their first step on the ladder.”