The five-year fixed rate product has no higher lending charge and customers can borrow up to 100 per cent of their
share.
Leeds Building Society comes into being on 12 September when Leeds & Holbeck changes its name, however, the new five-year shared ownership mortgage is available early and compliments the current shared ownership range.
Product Features
4.99 per cent Five-Year Fixed Rate Shared Ownership
* 4.99 per cent fixed until 1 December 2010
* No higher lending charge
* Available up to 75 per cent loan to value
* 100 per cent of the borrower's share available
* Includes 0.24 per cent discount for taking the Society's Home Insurance
* Tapered early repayment charges of 5 per cent of the amount redeemed in
years 1-2, 4 per cent in year 3, 3 per cent in year 4 and 2 per cent in year 5
* £249 completion fee
Jeff Kirk, corporate relationship manager said: "We have slashed our five-year fixed rate shared ownership by 0.80 per cent to offer this product. The reduction means that, on an average loan of £61,000, a customer will save £488 a year on an interest only mortgage.
This is specifically designed to help first time buyers get onto the housing ladder. Customers do not need to find a deposit and the product is fixed,allowing customers to budget effectively, which is particularly important when buying a first home. Recent falls in interest rates make longer term fixes more attractive at the moment. The five year product gives first time buyers certainty of repayments for a long period."
