Precise Mortgages has announced it will be entering the government’s help to buy scheme for the first time, with new products prepared to launch this week. The lender’s Help to Buy Almost Prime products start from 3.55% up to 75% loan to value (LTV) for a 2 year tracker, and include 2 year fixed rates starting at 3.95% and 4 year fixes from 4.2%.The lender is one of many to have revealed in January 2016 that they will be following the government’s scheme and lending a hand to first time buyers stepping onto the ladder.
Help to Buy Near Prime products include an additional 5.05% 2 year tracker, as well as a 2 year fixed rate from 5.45% and a 4 year fixed rate at 5.7%.
Precise’s residential range currently offers a maximum LTV of 85%, which with the addition of the help to buy range, now allows a 5% customer deposit to be supplemented by 5% builder incentives on top of the scheme’s existing 20% contribution.
These latest products are available on a 30 year term subject to the borrower’s age at application (with a maximum of 70 when the mortgage ends), while self-employed individuals with 1 years’ worth of accounts will be accepted.
The range is aimed at customers who are currently underserved by high street lenders, such as those with failed credit scores due to minor adverse, self-employed borrowers and, of course, first time buyers with a limited credit history.
Elsewhere, Leeds Building Society also confirmed its help to buy product details ahead of the February launch. Allowing borrowers with a 5% deposit to apply for an interest-free loan from the government of up to 40% of the property value, which is 20% higher than the loan previously offered by the first help to buy scheme three years ago.
Leeds’ help to buy deals include a 2 year fixed rate at 1.79% with a £799 fee and a 5 year fixed rate at 2.45% with a £199 fee – both with free valuations.