New front in lenders' battle for first-time buyers

Published On Sep 23, 2024, 7:30 AM

Nationwide Building Society has launched new mortgage offerings targeting first-time buyers, allowing them to borrow up to six times their income with as little as a 5% deposit. This initiative is aimed at easing home purchasing for new buyers, particularly in London and the southeast, amid intense competition among lenders to attract this market segment. Although this new borrowing limit is appealing, applicants must still meet stringent affordability tests. The move comes as first-time buyers are facing one of the toughest environments in 70 years due to rising costs and limited housing stock.