Borrowers can take out a shared ownership mortgage of up to 90% of the share being purchased with the option of taking a three-year discounted product priced at 3.79% or a term discount of 3.89%.
Applicants choosing a three-year deal will pay an application fee of £199 with no further fees payable on completion. Borrowers taking the term discount are being offered a free standard valuation with no early repayment charges on the product.
Richard Groom (pictured), head of mortgage sales, said: “Shared ownership allows borrowers to purchase between 25% and 75% of a property’s market value with rent being paid on the remaining portion. Rental payments are generally lower than comparable mortgage costs so shared ownership can be an attractive, cheaper alternative to outright purchase.
“We are confident that these new products will prove to be very popular with first-time buyers across the country who, initially at least, cannot afford to buy a home outright.”