Nationwide offers 95pc mortgage to home movers
We really need to see more schemes of this type if the housing market is going to get moving -especially for more than just first time buyers. This article tells us:
Home owners struggling to move up the property ladder received a helping hand today from Nationwide Building Society.
Nationwide has extended its “Save to Buy” scheme, which allows consumers who deposit at least £50 a month in a special savings account access to the Save to Buy mortgage.
Previously available only to first-time buyers, the mortgage requires a deposit of just 5pc, while the savings can be used to meet home moving costs such as solicitors’ fees. The current Save to Buy mortgage is a five-year fixed-rate deal charging 5.99pc.
Record low mortgage rates may abound, but home owners are still struggling to move up the property ladder. Bank Rate – which has been 0.5pc since March 2009 – has also affected savings rates, making it difficult to raise the deposit required to get a mortgage. This combined with a stagnant property market has meant it is not just first-time buyers who are feeling the pinch.
Mark Harris, chief executive of mortgage broker SPF Private Clients, said: “It makes sense to extend this scheme as it is not just first-time buyers struggling to buy a home.