What are its key features?
Leek Building Society has announced a new partnership with Own New to offer the Own New Rate Reducer mortgage through brokers, aiming to provide a more flexible and affordable path to homeownership.
The Own New Rate Reducer mortgage is designed to lower interest rates and reduce monthly payments during the initial fixed-rate term, making it a competitive option for homebuyers.
Lending features include a 95% loan-to-value (LTV) for new build houses and flats, acceptance of family gifted deposits, reduced early repayment charges, and approval based on a credit search rather than a credit score.
The mutual also offers high LTV options for applicants with thin credit files and provides an automated decision in principle (DIP) through to application via its MSO system, with a soft credit check at the DIP stage.
“Our Own New Rate Reducer product is a game-changer for those looking to buy their dream home” said Helen Wainwright (pictured), director of lending at Leek Building Society. “With lower initial rates, it’s a more affordable way to step onto the property ladder. We’re thrilled to be working with Own New on this innovative initiative.”
Eliot Darcy, founder and chief executive of Own New, said the partnership with Leek Building Society would open up Rate Reducer to more people with a bigger range of circumstances, including people with a 5% deposit buying a new build flat.
“Our goal is to make buying a new home more affordable for everyone,” he added. “This partnership allows us to bring real, tangible savings to buyers across the country.”
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