Overview
- Lloyds, which announced the deal Tuesday, will open applications on May 18 through Lloyds, Halifax and independent brokers across the UK.
- Buyers can purchase homes up to £300,000 with a loan-to-value just over 98%, a five-year fixed rate of 5.89%, borrowing up to 4.5 times income, and terms up to 40 years with no product fee.
- Applicants must pass strict affordability and credit checks, and the offer excludes shared ownership, new-build homes and purchases using gifted deposits.
- The bank says the product is aimed at renters who can meet monthly payments but struggle to save large lump-sum deposits without family help.
- Lloyds expects about £500 million of extra lending to first-time buyers over the next year, as rivals push low-deposit options and experts warn the £300,000 cap limits use in high-cost areas such as London and the South East.