Halifax 90 per cent LTV hike hailed as major breakthrough
The news of Halifax Intermediaries’ increase to 90 per cent loan-to-value (LTV) on new-build houses has been welcomed with opened arms from the industry.
The hike now brings its new-build offering in line with the maximum LTV on its core range, as a spokesman for the lender explains:
“It recognises changes in the new-build market and will allow us to support those unable to meet larger deposit requirements.”¹
Despite its limited availability – the products are only available on houses built by Barratts, Persimmon House and Taylor Wimpey and via a handful of intermediaries – the announcement has been received very favourably, especially by the ever-struggling first time buyers.
Lynne McCaffrey is the Head of Conveyancing at Goldsmith Williams:
“It is understandable why first time buyers tend to lean towards new-build properties when venturing onto the ladder so this news is particularly good for them.
“There are obvious limitations though – the property developer and intermediary restrictions may mean some first time buyers will not be able to benefit from these higher LTVs. Nevertheless, where one lender goes, others tend to follow so here’s hoping this could mark the start of a new, more positive chapter for first time buyers, developers and intermediaries alike.”
Content correct at time of publication