![Santander launches 95% LTV new build products Santander](https://barcadiapublications.fra1.cdn.digitaloceanspaces.com/property-reporter/img/article/3100-shutterstock_176160887.jpg?v=c0513a689baba899111a714423fe6db1)
"Our change will not only help more buyers get onto the property ladder sooner but also, with the majority of New Build properties achieving an EPC rating of A or B, support the wider transition to greener living"
- Graham Sellar - Santander
From Tuesday 27 February, Santander UK is increasing the maximum loan-to-value available on new-build houses and flats to 95%, meaning that aspiring homeowners only need a 5% deposit to make their homeownership dreams a reality.
Currently, Santander offers borrowing up to a maximum of 85% LTV for new-build houses and 80% LTV for new-build flats.
Santander’s move makes it the only top six lenders within the UK to offer mortgages up to 95% LTV across new-build flats and houses via all builders and all brokers. Customers buying a new-build with a 95% LTV mortgage can select from the bank’s current 95% range of five-year fixed-rate products.
Graham Sellar, Head of Development, Mortgages said: “We know that saving for a deposit is one of the biggest hurdles for aspiring homeowners, especially for those juggling rental payments against trying to save.
"Our change will not only help more buyers get onto the property ladder sooner but also, with the majority of New Build properties achieving an EPC rating of A or B, support the wider transition to greener living.”
The change from Santander comes at the start of the 2024 New Home Weeks (NHW), an annual awareness campaign from the Home Building Federation, the representative body of home builders whose members build 80% of all new homes in the UK in any one year. The theme for this year’s week, which starts on Monday 26 February, is 'Tomorrow awaits: Make it yours'.
David O'Leary, Executive Director at the Home Building Federation adds: “Santander's introduction of 95% mortgages for new build homes is extremely welcome. Most sensible observers recognise that there is a huge shortage of homes and it’s becoming harder for younger households to step into homeownership.
"Improving the availability of mortgages not only helps address the country’s growing housing divide but it provides confidence for house builders to invest and continue to deliver more high quality and energy efficient new homes in the years ahead."
Adrian MacDiarmid, Head of Mortgage Lender Relations, Barratt Developments PLC said: “The increase in loan to values is a testament to Santander's support for the New Build market and to their commitment to addressing not just the challenge of First Time Buyers aspiring to own their own home, but also our collective responsibility to support the transition to a lower carbon economy.”