Mansfield Building Society (MBS) is the latest financial institution to offer customers a Help to Buy product, as the market grows.
The mutual is offering a three-year variable rate mortgage starting at a discounted rate of 3.49 per cent, which will then raise to 5.59 per cent.
However, the product has an application fee of £199 and a completion charge of £800, which might turn off some consumers looking to spend as little money on administration as possible, although the £400 valuation surcharge will be waived.
As is normal for Help to Buy mortgages, customers do not need to be first time buyers and houses up to a value of £600,000 are covered.
Maximum capital repayment is ten per cent – meaning the minimum payback time is ten years.
MSB chief executive “We previously offered mortgages that supported the FirstBuy and HomeBuy initiatives so it was only natural that we should support the latest government-backed initiative to help people get onto the housing ladder.”