Melton Building Society launches 100% LTV mortgage in partnership with Gable Sure
The 5-year fixed-rate product is priced at 5.99% and comes with a £199 application fee and £199 cashback on completion.
Melton Building Society has launched a 100% loan-to-value (LTV) mortgage product designed to help first-time buyers overcome the challenge of saving for a deposit.
From Monday 2nd February, the product will be available exclusively through Legal & General Mortgage Club brokers and is initially open to borrowers purchasing properties in the East Midlands.
Wider distribution, including expanded geographic availability, is being considered later in the year.
The mortgage is powered by Gable Sure and allows eligible borrowers to buy a home without a traditional cash deposit.
The 5-year fixed-rate product is priced at 5.99% and comes with a £199 application fee and £199 cashback on completion.
Applications will be manually underwritten and subject to the society’s lending criteria, credit assessment and property valuation standards.
Simon Taylor (pictured), CEO of Melton Building Society, said: “For over 150 years we have been committed to helping our members buy their own home, and it’s well documented that in recent times taking the first step into home ownership has become increasingly difficult for buyers.
“As a modern mutual building society, it’s important that we look for ways to innovate and offer solutions to overcome the barriers that exist to home ownership.
“That’s why we’ve carefully designed a product, that in partnership with Gable Sure, gives borrowers a fair opportunity to own their own home, whilst lending responsibly.”
Laura Burrows of Melton Mortgage Solutions, an L&G Mortgage Club brokerage, said: “This 100% mortgage product could be a genuine game changer for first time buyers struggling to get on the property ladder.
“By removing the barrier of a large deposit, it opens up homeownership to the many credit worthy applicants who might otherwise be stuck renting for years.
“With responsible underwriting and clear criteria, this kind of product can help motivated buyers achieve their goals sooner while maintaining financial stability.”
Greg Cunnington, head of strategic accounts at Legal & General Mortgage Club, added: “It is great to partner with Melton on this exclusive, that offers more options to our intermediary partners and importantly the end customer.
“The role of regional building societies in the mortgage market is one of huge importance in supporting more flexible customer requirements, so we are delighted to work closely with Melton Building Society here.”
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