The new five-year fixes have rates of 4.95% and 5.05%
Leeds Building Society has launched two new five-year fixed rate mortgage products available for up to 95% loan-to-value (LTV).
Both products are for purchase only, have a free standard valuation, 10% penalty free capital overpayments allowed each year, and early redemption charges of 5%, 5%, 4%, 3%, and 2% of the amount redeemed.
The first product has no completion fee and a rate of 5.05%, while the second one has a £999 completion fee and a rate of 4.95%.
The mutual said the move to add two new high-LTV products to its mortgage range aims to help more aspiring buyers who are struggling to save higher deposits at a time when housing is at its least affordable point since records began, with the average home costing over £294,329, which is over nine times the average salary of £31,928.
Leeds recently reported strong lending performance in 2022, topping £5 billion in gross mortgage lending for the first time in its history. The lender also launched new two-year fixed rate mortgages last week, available at 65% to 75% LTV.
“We know that saving a deposit is a huge barrier to homeownership for many first-time buyers,” Jonathan Thompson (pictured), senior mortgage manager at Leeds Building Society, said. “We hope that by launching these two new 95% LTV products, we can help even more people achieve their dream of getting onto the property ladder.
“With many people concerned with the ongoing economic uncertainty, we wanted to offer customers certainty with their payments. I’m confident that these products will be very popular, particularly with first-time buyers.”
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