Barclays has unveiled two new mortgage products aimed at supporting the government’s NewBuy scheme.
The lender has launched the deals with rates from 4.99 per cent in an effort to assist first-time buyers (FTBs) in their quest to get a foot on the first rung of the property ladder.
As part of the new coalition initiative, which aims to offer home loans up to 95 per cent loan-to-value for newly constructed dwellings in England, the lender is offering FTBs or home movers looking to move into such properties valued at £500,000 or less the choice of two suitable mortgages.
These arrangements are a two-year fixed-rate plan at 4.99 per cent and a four-year fixed-rate at 5.89 per cent, with both options including an application fee of £499 and a revert to a lifetime tracker at base +3.99 per cent.
Head of mortgages at Barclays Andy Gray said the bank is pleased to be among the first providers lending a helping hand to the large number of house hunters hoping to purchase a dwelling with small deposits.
He stated: “We believe this will boost housing market confidence and support the flow of new housing providing positive consequences for jobs and the economy as a whole.”