The post-HTB/shared ownership discount for term scheme is available up to 90 per cent loan-to-value (LTV) and has an intial 3.79 per cent discount. The 1.2 per cent discount from the society’s variable rate is carried for the term of the mortgage, which can be up to 40 years.
Sam Ward (pictured), head of commercial at Dudley Building Society, said: “We are very proud of one of our core aspirations, which is to serve the under-served. Many people who took out HTBs and shared ownership or equity schemes did not really appreciate the millstone they can become.
“Our new product offers a viable remortgage alternative particularly useful for those approaching the end of the five-year rent-free period on HTB loans and are looking to find a way forward. It can also be used to buy back the freehold in the case of properties sold as leaseholds.”