Leeds widens warranty appetite on new builds

Leeds Building Society has widened the range of warranties it will accept on new homes following feedback from smaller developers.

The lender will now accept a range of warranty schemes, in addition to that of the National House Building Council, so long as they give consumers “appropriate protection”.

Leeds Building Society head of intermediary distribution Martese Carton says: “There’s a widely-shared view that increasing housing supply is an absolute priority for the UK, although opinions differ as to how this can be achieved.

“We’re doing what we can as a lender to support developers by strengthening our new build proposition, such as broadening the range of warranties we accept on new build properties.”

Carton says the lender reviewed its position after developers raised concerns about warranty costs.

The lender has also improved its new build criteria by increasing LTV on new homes up to 90 per cent on houses and 85 per cent on flats.

Leeds has also created a dedicated new build underwriting team and has brought in specific criteria to support modern methods of construction.