Own New and Chorley Building Society have teamed up to offer new-build homebuyers lower-rate mortgages.
The Own New proposition partners lenders with private investors to enable new-build lending at high loan to values (LTVs) with favourable rates. It is funded by housebuilders, and buyers apply for a mortgage through lender partners.
Own New recently updated its proposition to allow the full use of builder incentives to lower borrowing rates, ensuring 100% of the incentive’s value goes directly to the buyer to pay down the interest on their mortgage.
The incentive is applied pound for pound against the interest they would otherwise pay. If the full incentive is not used to reduce the mortgage rate, the buyer receives a topped-up cashback incentive.
Liz Pearson, operations director at Chorley Building Society, said the mutual was pleased to launch its Own New mortgage range, as this served the needs of both existing homeowners and first-time buyers.
She added: “We listen to feedback from our broker partners and we know that they are looking to help their clients with innovative options that support affordability. At Chorley Building Society, we have a flexible approach to lending, and we can uniquely provide Own New’s proposition along with our joint borrower sole proprietor criteria.
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“Chorley Building Society was formed more than 165 years ago to help people own their own homes, and we are still doing that today with innovative new products, such as the Own New mortgage.”