First anniversary for Leeds Building Society's award-winning unique mortgage
Leeds Building Society has celebrated the first anniversary of the launch of its award-winning Welcome Mortgage.
The unique mortgage offers borrowers a competitive fixed rate and the choice of three or six months at the start of the home loan where they pay 0% interest.
Available up to 90% LTV (loan to value), the Society's Welcome Mortgages come with added benefits such as no completion fee, a free standard valuation up to £335 and £200 cashback.
Current deals include two, three and five year fixed rate products and the total cost of the Welcome Mortgages is comparable with the Society's standard fixed rate mortgages. One of the most popular current Welcome Mortgages is a 4.34% five year fixed rate deal, available up to 85% LTV with 0% interest for three months.
"We introduced our Welcome Mortgage in response to a need we identified in the market," said Martin Richardson, Leeds Building Society's General Manager – Business Development.
"Many borrowers – particularly first time buyers – are looking for ways to keep down the costs associated with buying a home. Finances are most likely to be stretched after moving in, when buyers have paid stamp duty and other charges linked to their purchase.
"They then face set-up costs for utilities and may want to start DIY and decorating jobs to make their home feel their own, so the Welcome Mortgage is intended to offer them some breathing space when this is most needed, at a negligible extra cost.
"Many of the borrowers who have chosen a Welcome Mortgage were First Time Buyers, so we're delighted that people making their first steps onto the property ladder have been able to benefit from our innovation.
"We're also delighted by the reception for the Welcome Mortgage from industry commentators and the awards that we've won since the product was launched."
"We're always looking for ways to innovate to better meet the needs of our customers and will continue to work on creating good value products to help them to get on with their lives."
The Society offers a range of options, including the Welcome mortgage, to borrowers seeking higher LTV mortgages. Other choices include mortgages through the Help to Buy equity scheme (HTB1), traditional 95% LTV mortgages and shared ownership mortgages.
Notes to Editors
For a Welcome Mortgage case study, or a cost comparison between Welcome Mortgages and the Society's standard fixed rate mortgages, please contact Leeds Building Society press office on 0113 225 7903.
To discuss a new case with one of our mortgage development team, mortgage introducers should go to www.leedsintroducer.co.uk to find details of their nearest Business Developer contact.
Leeds Building Society has won three awards for innovation so far this year, having been named 'Innovator of the Year' at the Moneywise Magazine Mortgage Awards 2014 for its Welcome Mortgage. This allows borrowers to pay 0% interest for the first few months of their term so they can free up cash to help them settle into their new home.
The Society also scooped the 'Mortgage Innovation Award' and was named 'Most Innovative Personal Finance Provider' at the Moneynet Personal Finance Awards 2014.
Leeds Building Society has 67 branches throughout the UK, Gibraltar and Ireland and assets of £12.1bn (as at 30 June 2014). The Society has operated from the centre of Leeds since 1886.