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.
The Cambridge Expands 98% LTV Mortgage to Entire Market
The Cambridge Building Society has widened access to its 98% loan-to-value (LTV) First Step two-year fixed mortgage, making it available to the whole of the market. The product, previously offered through limited distribution, is now accessible to all intermediaries from 8 July 2026.
The First Step mortgage is designed for first-time buyers and allows borrowing up to 98% LTV on properties valued up to £500,000, with a maximum loan size of £500,000. The product is priced at 5.89% and includes a £499 product fee, as well as a free standard valuation. Borrowers can make overpayments of up to 10% per year.
The Cambridge will lend up to 5.5 times income and accepts gifted deposits. The mortgage is available for new-build houses but not for new-build flats. Self-employed applicants are considered according to the society’s standard criteria. The minimum purchase price for eligible properties is £100,000.
For letting agents and inventory clerks, the expansion of this high LTV mortgage product may increase activity among first-time buyers, particularly those with smaller deposits. The product’s availability to all intermediaries could also broaden the pool of potential tenants entering the property market.
Source: Mortgage Solutions