Taylor Wimpey offers FTBs 95% LTV mortgages

Taylor Wimpey is offering first-time buyers 95% LTV mortgages on a number of its developments in the East Midlands, East Anglia and East London.

The Take5 deal is being offered in conjunction with Melton Mowbray Building Society and Saffron Building Society.

The new mortgages will have rates between 5.49 and 5.99% fixed for two years.

Pete Redfern, group chief executive at Taylor Wimpey, says: “We have been working hard to secure this mortgage deal which we believe will make all the difference to those who aspire to own their own home but find it difficult to save for the large deposits needed.

“Discussions are at an advanced stage with other lenders to support this initiative as part of a range of practical and workable solutions to get more first time buyers moving.”

The news comes on the same day that housing minister Grant Shapps is chairing an emergency summit in London with mortgage lenders, house builders and other industry leaders to find a solution to the first-time buyer crisis.

The Council of Mortgage Lenders estimates that the average age of a first-time buyer not receiving financial help from family is 31. This is largely due to the size of deposit now required by lenders which has trebled in the last 10 years.

Michael Coogan, director general of the CML, is attending the summit, he says: “It is good to see ministers taking the initiative to discuss how we can look to improve market conditions for first-time buyers. But no-one will be surprised to learn that there is no simple quick fix for a market that has changed fundamentally since the credit crunch.

“Creative approaches have a role to play in helping to turn market stability into market recovery, and lenders look forward to working constructively both with government and the housebuilding industry as we look to help create the kind of conditions conducive to responsible innovation.”