TSB is increasing the LTV available on New Build house purchases to 95%, meaning aspiring homeowners only need a 5% deposit to turn their home ownership dreams into a reality.
Products are now available, with a two-year fixed option at 5.69% and a five-year fixed option at 5.39%. The bank is also launching two new Shared Ownership products at 95% LTV, with rates starting at 5.49% for a zero-fee, five-year fixed product – including £500 cashback.
The move follows last week’s Loan to Income (LTI) enhancements announcement, giving new build buyers the ability to borrow up to five and a half times their income, provided they have a 10% deposit, and earnings over £75,000.
TSB has also announced the appointment of Paul Thornton as national new build manager. As part of this newly created position, he will be responsible for driving TSB’s new build activity with housebuilders and intermediaries. Thornton has 11 years’ experience with TSB and was previously national account manager in TSB’s intermediary mortgage business.
TSB head of mortgage distribution Beverley Bradford said: “We know buying a first home is a major milestone, but for many, affordability and saving for a large deposit can be a significant barrier.
“These changes will help more first-time buyers get on the property ladder while supporting the construction of greener new homes.”
