100% mortgage for shared-ownership property buyers

Nottinghamshire based mortgage lender, Mansfield Building Society, is offering a 100% mortgage to local first-time homeowners buying a shared ownership home through a shared ownership housing association.

The building society is the first to offer 100% mortgages to people looking to buy a new home since Abbey withdrew its 100% home loan a year and a half ago, according to the Financial Times.

People wishing to take advantage of Mansfield Building Society’s mortgage offer must be purchasing a shared ownership home from local housing association properties provider, South Yorkshire Housing Association. housing association properties

Chief executive of Mansfield’s, Nigel Quinton, said: “Giving people the opportunity to own their own homes is fundamental to being a building society, but many people can’t get on the ladder at the moment.

Shared ownership schemes are proving increasingly popular with first-time buyers, who are otherwise unable to get a foot on the housing ladder. This is because shared ownership housing associations and other new home developers generally cover a large stake of the overall value of the new home.

Although the finance provided by Mansfield covers the full value of the homeowner’s share of the new home, it does not cover the housing organisation’s share. The housing body would that element of the loan.

For more information, visit mansfieldbs.co.uk.