Skipton’s 100% home loan offer attracts £62m in applications – Mortgage Finance Gazette
Skipton Building Society says its 100% mortgage product has notched up £62.4m in applications and £29.7m of completions since its May launch.
The mutual’s Track Record Mortgage allows tenants with “a strong track record of rental payments” to borrow the total cost of their first property over a maximum of 35 years.
“The value of this product has been clearly demonstrated,” says the group’s home financing chief executive Charlotte Harrison in the lender a full-year trading statement.
The data comes as Chancellor Jeremy Hunt is understood to be drawing up plans for a 99% mortgage scheme ahead of next week’s 6 March Spring Budget.
The move would see homebuyers able to put down a 1% deposit on their first home, with the government backing the overall loan.
Skipton, which owns the Connells estate agent chain, says its overall home loan advances lifted 6.3% to £6.7bn compared to a year ago, while mortgage balance jumped 12.1% to £28.6bn,
It adds that its mortgage balance market share grew to around 13%, “despite the UK mortgage market being stagnant for the majority of the year”.
Skipton group chief executive Stuart Haire says: “We will develop new capability to support more people into homeownership and improve the customer journey for buying and selling homes, while continuing to grow our lettings business.
“We will also continue to invest more to ensure our members receive above-market interest rates for their savings and have access to free advice to help them plan their financial futures.”
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