Nationwide has announced that their ‘helping hand’ mortgage will now be available to buyers with just a 5% deposit, meaning a huge boost to first time buyers struggling to get on the property ladder.
Who’s eligible?
- First time buyers (or no mortgage within the last 3 years).
- 5% deposit
- Take out a 5 or 10 year fixed rate mortgage
- Must be employed
- Income of £50k per year (joint if applying with another)
What makes the helping hand mortgage different?
Successful applicants can borrow up to 5.5x their annual income compared to 4.5x with other offers.
In real terms, this could mean borrowing up to £275k in comparison to £225k.
Are there any financial implications?
With the Nationwide offer you are likely to receive a higher total mortgage offer for a smaller deposit, offering a huge financial boost, however according to data from moneyfacts, the interest rate is higher than other providers also offering a 5% deposit mortgage.
To find out more information visit: nationwide.co.uk/mortgages/first-time-buyers/helping-hand-mortgage/
Auction House offers plenty of support for first time buyers considering buying at auction. Speak to your local property expert today!
Original source:
https://www.nationwide.co.uk/mortgages/first-time-buyers/helping-hand-mortgage/
https://www.which.co.uk/news/2022/02/nationwide-to-offer-bigger-95-mortgages-to-first-time-buyers/
