Vida Homeloans has launched a range of Help to Buy specialist mortgage products for first-time buyers, movers and remortgagers, including an option specifically designed for Help to Buy staircasing.
For purchasers, Vida includes one free standard valuation and £200 contribution to legal fees, with 2-year fixed rates from 3.79% for qualifying new builds up to Help to Buy limits. These limits are £600,000 in England, £300,000 in Wales and £200,000 in Scotland.
Louisa Sedgwick, director of sales, mortgages at Vida Homeloans, said: “Vida is thrilled to be able to further support the evolving and resilient first time buyer market by announcing new Help to Buy purchase and remortgage products.
“The Help to Buy scheme has already proved to be of great value to first time buyers, helping to secure their first foot on the property ladder.
“With the number of first time buyers reaching a 12-year high last year, it’s vital that the mortgage lending industry does its bit to continue supporting this demographic, driving the market forward.”
Terry Higgins, managing director, New Homes Mortgage Helpline, added: “The HTB market still holds many opportunities for mortgage intermediaries, especially for those with clients who need specialist mortgages.
“Vida’s entry into this sector is very welcome and we have already placed several HTB cases with them that we would not have been able to place with high street lenders.”
Gifted deposits and a Help to Buy ISA, including a bonus, are permitted, with builder incentives considered above a customer’s 5% deposit.
For Help to Buy remortgage options there are 2-year fixed rates from 4.39%. The remortgaging options include both a ‘pound for pound’ product for those wishing to reduce their mortgage payments, as well as a staircasing option for customers wishing to increase their equity stake.
Remortgage products include a £0 product fee, one free standard valuation and a £200 contribution to legal fees.
Vida’s specialist lending criteria applies to all its Help to Buy products.
This includes a minimum income of £15,000, up to four incomes accepted, impaired credit history and complex incomes considered and competitive new build criteria, including fast-tracked initial offer lasting six months, extendable by another six, and a dedicated new build processing team.
Hiten Ganatra, managing director, Visionary Finance, said: “Since the launch of the Help to Buy scheme in 2013 up until the end of 2018, 211,000 loans with a value of £11.7bn have been lent to homeowners.
“Around 81% of all buyers supported by the scheme have been first time buyers. It is encouraging to see Vida enter this segment of the market whilst importantly also offering a remortgage option for HTB homeowners.”