Woolwich is launching a suite of mortgages specifically designed to meet the needs of first-time buyers looking to get a foot on the property ladder.
The new range, which follows Woolwich's announcement last month that it had scrapped its higher lending charge, includes a three-year discount mortgage with a best buy rate of 5.29 per cent and a two-year stepped tracker with 1.50 per cent cashback.
Following consultations with first-time buyers, Woolwich has designed the new mortgages to include a number of additional benefits.
The 1.50 per cent cashback will be equivalent to the cost of stamp duty, helping first-timers meet that expense.
First-time buyers who take out a new Woolwich mortgage
will also be eligible for discount vouchers worth up to 20 per cent at Argos to help them buy the home and electrical goods they need for their new home.
"First time buyers face particular problems in the UK, through a combination of high house prices, and stamp duty costs which can be the final financial straw," said Andy Gray, head of mortgages at Woolwich.
"We have taken on board the views of consumers wanting to get their feet on the property ladder and developed a range of leading products in terms of price and benefits, in what is a very competitive marketplace."
New research commissioned by the bank suggests that the number of loans given to first-time buyers has fallen by 37 per cent since 1999 as they struggle to keep up with rising house prices.Click here to find out more about first-time buyer mortgages.
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