Aimed at first-time buyers (FTBs), the products have no higher lending charges, no completion fees and free valuations, up to £335.
The shared ownership three-year fix is available from 6.49 per cent up to 75 per cent loan-to-value (LTV). The fees-free three-year fixed rate, available to guarantors, has a rate of 6.69 per cent, up to 100 per cent LTV. Tapered early repayment charges exist on the product, from 4 per cent in the first year, to 2 per cent in the third. The product also allows 10 per cent capital repayments each year, without penalty.
Commenting on the launch, Jeff Kirk, corporate relationship manager at Leeds BS, said: “We are all well aware of the difficulties facing FTBs in getting a foothold on the housing ladder. With house prices showing little sign of cooling and many market commentators predicting a further rise in Bank Base Rate, possibly as early as next month, many FTBs will find it difficult to purchase their first home.”
Kim Barrett, proprietor at KS Barrett & Associates, said: “I don’t think this product offers a particularly good rate and wouldn’t really be attractive to FTBs, who may be better off getting another product with a higher LTV and taking out a personal loan to cover the administration costs.
Leeds has also adjusted its buy-to-let offering, with the announcement that it would get confirmation from a letting professional when assessing rental income that can be realistically achieved. Its BTL online facility also allows 24-hour access to instant mortgage decisions, Key Facts Illustrations and real-time updates on applications.
