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New 5% deposit mortgage scheme launches today available for first-time buyers

Robert Jenrick city Santander Coronavirus pandemic cover

19.04.2021 - 15:35

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www.dailystar.co.uk

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property ladder with a small deposit can apply for a 95% loan under a new Government programme. Today, banks including Santander, HSBC, Barclays and NatWest have launched deals under the mortgage guarantee scheme.

Lenders pulled almost all of these type of deals when the coronavirus pandemic hit as it was too risky. But the 5% deposits are a lifeline for first-time buyers who struggle to save enough for a down payment on a property.The scheme will help to reduce the amount of money first-time buyers need to purchase their own home in half.It will run until December 31, 2022, and it can be used on new and existing properties.Housing Secretary Robert Jenrick said: "The new mortgage guarantee scheme which comes into effect today will give.

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