Ecology Building Society has launched a new mortgage product to help first-time buyers in Scotland step onto the property ladder.
The new Ecology First Homes Mortgage (Scotland) can be used by anyone purchasing a property using the Scottish government’s First Homes Fund, with Ecology becoming the 11th official lender of the Fund.
The Fund helps people overcome the barrier of raising a deposit, with the Scottish government providing up to £10,000 towards the purchase of their first home. Ecology’s First Homes Mortgage will then help them to finance the purchase, with a mortgage of up to 95% LTV on properties worth up to £300,000.
The product offers a variable interest rate of 5.69% and is available up to 5.5x LTI with a free standard valuation.
Gareth Griffiths, Ecology’s chief executive officer, said: “For many aspiring homeowners, the dream of buying a first home can feel increasingly out of reach. Rising house prices and the challenge of saving for a deposit mean too many people are locked out of home ownership.
“The Scottish government’s First Homes Fund is helping to change that, and we’re delighted to launch a mortgage designed specifically to work alongside it. By combining government support with higher loan-to-value lending, we’re making it easier for first-time buyers to turn ambition into reality.
“Through our work with discounted market sale homes, co-housing, self-builds, conversions and now the First Homes Fund in Scotland, we are building a broader range of options for people who need a lender willing to look at their circumstances and the kind of home they want to create.
“That wider commitment is central to Ecology’s purpose. We want our mortgages to support people whose route into a home may not fit the conventional mould, while continuing to support better homes, stronger communities and a more sustainable future.”
