95% shared ownership remortgage launched by Cambridge Building Society
The Cambridge Building Society has announced it is changing its lending criteria to offer shared ownership remortgages up to 95 per cent loan to value (LTV), in an aim to allow borrowers to staircase faster.
This is an increase from the society’s previous offering of 90 per cent LTV on shared ownership remortgages.
This amendment to the lending criteria is expected to enable The Cambridge to help borrowers who have a shared ownership property but not enough equity to buy a larger share.
With remortgages up to 95 per cent LTV, customers are expected to be able to remortgage while borrowing more, supporting their ability to staircase.
The Cambridge’s shared ownership 95 per cent LTV remortgage range offers a discounted variable rate product at 3.49 per cent and a two-year fixed rate product at 3.59 per cent.
Alongside this change, the society has also announced it is reducing rates by up to 0.50 per cent across its standard 95 per cent LTV mortgage product range.
These cuts include a reduced rate on its ‘First Step’ 98 per cent LTV mortgage, which is specifically for first-time buyers with a small deposit.
Dan Barker, product manager at The Cambridge, said: “As the shared ownership market grows with first, second and even third time buyers looking to shared ownership properties for an affordable way to own a home, it is important for us to respond with a variety of affordable lending options.”