Virgin Money has launched a new range of Help to Buy Equity loan products to support Scotland’s Help to Buy scheme, with new products available up to 80% loan to value (LTV). This includes 2 year fixed rates from 2.04% and 5 year fixes at 2.79%, both with a £995 product fee and £500 cashback.
As well as this, Virgin Money has also released a new ‘Stamp Duty Buster’ range designed to help cover stamp duty and additional costs, which comes with a generous £2,500 in cashback. These products come in the form of a 2 year fixed rate at 80% LTV with a 2.95% rate, as well as a 5 year fixed rate at 3.65% for the same LTV, both with a £995 product fee and £2,500 cashback.
This is a particularly competitive deal, as although the rate may be slightly higher, the loan size is often typically smaller for properties in Scotland, which means the interest difference works out less. The generous cashback will also help customers with tighter budgets, who would rather sacrifice interest and spread costs over a monthly basis.
Virgin Money has also introduced a similar range of Help to Buy Equity loans to support homebuyers in (and outside of) London, which includes new 2 and 5 year fixed products at 55% LTV.
The London Help to Buy scheme offers borrowers a Government loan of up to 40% of a property price when the customer puts down at least 5%. This is incredibly important for borrowers wanting to own their own home in the current market climate, especially one based in the capital.
Virgin Money’s new range includes 2 year fixed rates available at a rate of 1.78% with a £995 fee and £500 cashback, or 2.4% for a 5-year fix with the same fees. This follows other lenders, such as TSB, Barclays, Nationwide and Precise Mortgages, who have all become part of the London Help to Buy scheme.