Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.

Leeds Building Society Launches 98% LTV Mortgage for First-Time Buyers

Leeds Building Society has launched a new 98% loan-to-value (LTV) Start Mortgage aimed at first-time buyers. The product allows lending up to five times household income and is available to borrowers with a minimum income of £30,000 and a maximum loan size of £500,000.

The Start Mortgage is offered on a five-year term with a rate of 5.65%. Applicants are required to provide a minimum deposit of £5,000. The product includes a free standard valuation and does not require a fee upon completion.

Leeds Building Society will accept self-employed applicants and gifted deposits for this mortgage. The Start Mortgage is available through the society’s intermediary partners.

According to the report, the mutual said the new product is designed to help first-time buyers address affordability challenges by combining a high LTV with flexible income requirements. For example, a household with an income of £49,000 and a £5,000 deposit could borrow £245,000 for a property valued at £250,000.

This development may be of interest to UK letting agents and inventory clerks, as increased support for first-time buyers could impact demand in the rental sector and influence property market activity.