Virgin Money expands access to Rate Reducer

The following options come with a £495 fee and a £250 cashback, alongside a 5% builder’s incentive:

• 60% loan-to-value (LTV) Own New Rate Reducer mortgage with a two-year fixed rate of 0.99%
• 75% LTV Own New Rate Reducer mortgage with a two-year fixed rate of 1.83%
• 60% LTV Own New Rate Reducer mortgage with a five-year fixed rate of 2.95%
• 75% LTV Own New Rate Reducer mortgage with a five-year fixed rate of 3.37%
• 90% LTV Own New Rate Reducer mortgage with a five-year fixed rate of 3.78%

These mortgage products are specifically designed for brokers with experience in new-build properties. Additionally, accreditation with Own New is required to access these offerings. Those without accreditation can apply for one, with further details available on the Own New website.

Standard new build policy and affordability assessments will be applied to all applications. Brokers are advised to submit their cases through Virgin Money Online, where they will find the option to choose an Own New payment route.

“Virgin Money is delighted to be a founding lender of the innovative Own New Rate Reducer, making it easier and more accessible for customers to afford a new-build home,” said Craig Calder, head of secured lending at Virgin Money.

“Buying a home is a major life event and this first-of-its-kind mortgage product will help customers feel happier about their big purchase, knowing that with the homebuilders’ incentive included, they have the certainty of a much lower fixed interest rate over the initial period of the mortgage.”