Here is the latest update from Halifax. Their latest products are viewable here and all accessible via the Brilliant Solutions mortgage club. Contact us for more information.
Launch of £5,000 Deposit Mortgage
On Monday 18 May we will be launching a new low deposit mortgage scheme for First time buyers (FTB) who have saved a personal deposit of a minimum £5,000.
We know getting a deposit together is one of the main barriers for First time buyers looking to get onto the housing ladder, and by lowering the deposit required we will support more customers buying their first home.
Key details
- Only one customer on a joint application has to be a FTB (key the FTB as first applicant)
- Up to a maximum purchase price of £300,000
- £5,000 minimum personal deposit which cannot be gifted. Proof of deposit may be required
- Employed and self-employed customers; no minimum income level
- 5 year fixed rate product, with a £0 product fee available above 95% to 98.34% LTV
- A free Level 1 mortgage valuation will be included with these products
More information
On the Schemes screen the new ‘Low Deposit’ scheme should be selected.
Available on new applications started from 18 May. Applications started before this date – even if just a Decision in Principle (DIP) – will not be eligible and a new application would need to be keyed.
This must be the customers only residence and they must not have an interest in any other properties such as a second home or buy to let. A maximum 4.49x loan to income (LTI) cap will apply and a minimum credit profile/credit score level is required otherwise standard maximum LTVs will apply. Current credit commitments will be deducted as ongoing in our affordability calculation even when declared as ‘to be repaid’ at or before completion.
There will not be any Green Home A/B EPC alternative products above 95% loan to value (LTV). If the property’s Energy Performance Certificate (EPC) is A/B you will still see a message asking if you wish to switch to a Green Home product instead, so please just click to confirm you wish to proceed on the chosen £5,000 Deposit product. Not available for New build or Affordable Housing.
Sourcing systems plus our website Product selector tool and Product guide will be updated to show these new products from Monday 18 May.
Please see our website from Monday 18 May for more information on £5,000 Deposit mortgage, and other ways we support First time buyers including First Time Buyer Boost.