The Help to Buy Equity Loan scheme allows a customer to buy a new-build home with just a 5% deposit. The Government then loans up to 20% of the property value, with a mortgage making up the remaining 75%. The scheme allows customers to purchase a newly-built home with a smaller deposit whilst keeping monthly costs down as the equity loan is fee-free for the first five years.
Mortgages in the range also come with £800 cashback which customers can use to help with legal fees, valuation fees, or the general cost of moving home. Virgin Money is a responsible lender and all lending is strictly subject to affordability.
The products are available through Virgin Money’s key new build intermediary partners.
In addition to the removal of the £30,000 minimum income threshold Virgin Money will also accept applications from the Welsh Government's Equity Loan scheme and in Scotland where an Authority to Proceed has already been obtained.
Anthony Mooney, Director of Financial Service said:
“The changes we are making allow Virgin Money to lend to customers with good affordability and an income below £30,000. This will play an important part in helping people to get their feet onto the first rung of the housing ladder. Virgin Money is committed to responsible lending in all segments of the mortgage market and this latest change to our mortgage policy demonstrates exactly that.”
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