Santander has become the latest lender to launch a range of products for the Government’s Help to Buy mortgage guarantee scheme.
The lender has launched three fee-free products for the scheme, all at 95 per cent loan-to-value and available to brokers.
They include a 4.99 per cent two-year fixed rate, a 5.49 per cent five-year fixed rate and a two-year tracker at base rate plus 4.49 per cent.
All products are available solely for home movers and include the lender’s homebuyer solution package, which offers borrowers a free standard valuation and £250 cashback.
Royal Bank of Scotland, Halifax, HSBC, Aldermore and Virgin Money have already launched products for the scheme. OneSavingsBank is expected to launch its Help to Buy 2 range in the coming weeks.
Santander head of mortgages Miguel Sard says: “Santander is committed to helping consumers get on and move up the property ladder and our new Help to Buy mortgage guarantee range is the latest addition to our competitively priced range of products.”
The cheapest 95 per cent LTV product on the market at present is a 4.79 per cent two-year fixed rate from Yorkshire Building Society, which is only available direct.
Chadney Bulgin mortgage partner Jonathan Clark says: “The products are a little off being market leading so it would be good to see Santander sharpen up at some point.
“When you can borrow money fixed at 2.69 per cent for five years with a large deposit, this is more than double. You would like to see the rates lower given the Government guarantee behind it.”