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Deposit Lite Fixed to 30/11/2029 - Parental AVM Option

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  • Summary Back Copy 2

    Designed for first time buyers who require assistance from family to help with their first house purchase deposit.

    Deposit Lite mortgage offers up to a 40 year term and allows the applicant to borrow up to 100% of the purchase price. By taking a collateral charge on the parents’ property we can use equity in their property to help their children get on the property ladder with smaller deposits.

    Parents or grandparents can use up to 60% of the value of their own property to help their child/grandchild onto the housing ladder. Please note this maximum LTV will include any existing charge in place on parents’ property if applicable plus our charge. 

    • Initial Rate, fixed to 30 November 2029

      5.79% fixed

    • Followed by our Standard Variable Rate (SVR) for the rest of the term

      8.59% variable

    • The overall cost for comparison is

      7.9% APRC

    • Maximum Loan to Value

      100% on applicants property purchase (overall 80% LTV with parents property equity) including fees

    • Application Fee

      None

    • Product fee - may be added to the loan

      £999

    • Early Repayment Charge

      Charges will apply to any lump sum or full redemption paid over 10% of the capital balance
      5% up to 30/11/2025
      4% up to 30/11/2026
      3% up to 30/11/2027
      2% up to 30/11/2028
      1% up to  30/11/2029

    • Desktop Valuation Fee

      £95

  • Representative Example Back Copy 2

    A mortgage loan of £192,375.00 which will be payable over 40 years, initially on a fixed rate of 5.79%  until 30/11/2029 and then on our Standard Variable Rate, currently 8.59%, for the remaining period would require 60 payments of £1,030.45 and 420 payments of £1,396.10.

    The total amount payable would be £650,160.00 made up of the loan amount plus interest of (£455,814.00) plus a product fee of £999, a funds transfer fee of £25, a valuation fee of £340, a desktop valuation fee (£95), legal fees to your solicitor of £312, exit fee of £100 and solicitor's fee for independent advice for guarantor (£100).

    The overall cost for comparison is 7.9% APRC representative. 

  • Further Information Back Copy 2

    Fees

    Valuation fees and solicitor fees may be payable
    Other charges may be made in respect of mortgage services
    See our fees guide for more details

    Parents providing additional security

    Parents or grandparents can use up to 60% of the value of their own property to help their child/grandchild onto the housing ladder.

    The Society will take a charge on the relative's property to bring the Society's overall LTV to 80%. The charge on the relative's property is for a set amount.

    The Society will undertake a TransUnion/Experian credit search and electronic verification on the guarantors.

    The relatives will have liability for any shortfall on the sale of the mortgage property in repossession subject to the maximum agreed at outset.

    The charge on the parent's property can be released subject to a re-valuation and satisfactory conduct of the mortgage account.

    We may also accept equity in holiday homes or Buy to Let properties other than the relatives' own, subject to individual approval.

    Additional Security Calculator

    Please complete our Additional Security calculator to assist in calculating the amount of charge required on the parent's/grandparent's home.

    Requirements for Parents/Grandparents assisting

    The Society will require a basic valuation of the parent's property, this will be undertaken as an AVM Desktop valuation on this scheme. Please check below for property exclusions for AVM option.

    The Society will undertake a TransUnion/Experian credit search and electronic verification on the guarantors.

    Guarantors will need to provide statements for any mortgage or secured loans on their property.

    Society would require that the parents have a clean credit history and to verify that any existing mortgage is not on a roll up basis.

    Parents would need to take and evidence that they have had independent legal advice to ensure they are fully informed and that the solicitor can identify potential vulnerable persons.

    AVM/Desktop Valuation Property Criteria

    A desktop valuation figure is calculated using information from a variety of resources and databases. This figure is checked and endorsed by our panel of RICS surveyors. Due to the nature of this calculation, the valuation figure cannot be challenged.

     If we are unable to complete a desktop valuation, then a standard valuation will be required. Our usual valuation fee will apply should a standard valuation be required following an unsuccessful desktop valuation attempt and the original desktop valuation fee will not be refunded.

    Please click here to review the Desktop Valuation Form Checklist

    The desktop valuation model will not be suitable for all properties and the exclusions are listed below:

    properties with more than 4 bedrooms,

    property value in excess of £1m

    minimum estimated value below £100,000 outside the M25 and below £150,000 inside the M25

    no online visibility and/or has not transacted within the last 5 years

    properties accessed from a private road

    inconsistent property attributes

    flats or maisonettes

    new build property (constructed in the last 24 months), self builds or properties under construction

    HMO’s (including student lets) or multi-unit freehold blocks

    shared ownership properties; properties being used as a holiday let or ex Local Authority properties

    commercial properties or properties located above or directly adjacent to commercial properties

    properties where the flying freehold is suspected to be greater than 20%

    properties with more than 1 acre of land and/or subject to resale restrictions (age/occupancy)

    Listed properties

    holiday lets

    properties of non-traditional construction

    properties suspected to be in poor condition and/or subject to renovation/refurbishment

    new build, self-build or properties under construction

    properties with less than 85 years unexpired lease term

    properties where the EPC rating is F or G             

    Acceptable Credit Criteria

    This product accepts our standard credit criteria click here for details

    Early Repayment Charge (ERC)

    Early Repayment Charges as detailed below are payable on any lump sum or full redemption repaid over 10% of the capital balance.

    5% up to 30/11/2025
    4% up to 30/11/2026
    3% up to 30/11/2027
    2% up to 30/11/2028
    1%  up to 30/11/2029

    Overpayments

    During the early repayment charge period lump sum overpayments up to 10% of the capital balance per annum may be made without attracting an early repayment charge. Should the total of lump sum overpayments exceed 10% within this period, the excess will attract an early repayment charge.

    Once the early repayment charge period has ended overpayments can be made at any time.
    If an overpayment of £500 or more is made, we will recalculate the monthly payment the following month.

    Affordability

    You can check affordability through our calculator where we assess on affordability as an alternative to income multiples. Please note we will fully review bank statements and expenditure during the underwriting process. Click here to find out more

    Repayment

    This mortgage is available on a capital repayment basis. Payments must be made monthly by direct debit.

    Age Limits

    The minimum age is 18 for all applicants. There is no maximum age. Earned income considered up to age 75. Cases are considered on individual circumstances.

    Loan Size

    Minimum loan size £50,000.
    Maximum loan size £500,000.

    Mortgage Term

    The maximum mortgage term is 40 years dependent on individual circumstances.

    Portability

    This product is portable, meaning that if the applicant moves home they can take it with them, subject to our lending criteria at the time.

    Interest

    Interest is calculated daily on the balance outstanding and added to the account the following month.

  • Designed for first time buyers who require assistance from family to help with their first house purchase deposit.

    Deposit Lite mortgage offers up to a 40 year term and allows the applicant to borrow up to 100% of the purchase price. By taking a collateral charge on the parents’ property we can use equity in their property to help their children get on the property ladder with smaller deposits.

    Parents or grandparents can use up to 60% of the value of their own property to help their child/grandchild onto the housing ladder. Please note this maximum LTV will include any existing charge in place on parents’ property if applicable plus our charge. 

    • Initial Rate, fixed to 30 November 2029

      5.79% fixed

    • Followed by our Standard Variable Rate (SVR) for the rest of the term

      8.59% variable

    • The overall cost for comparison is

      7.9% APRC

    • Maximum Loan to Value

      100% on applicants property purchase (overall 80% LTV with parents property equity) including fees

    • Application Fee

      None

    • Product fee - may be added to the loan

      £999

    • Early Repayment Charge

      Charges will apply to any lump sum or full redemption paid over 10% of the capital balance
      5% up to 30/11/2025
      4% up to 30/11/2026
      3% up to 30/11/2027
      2% up to 30/11/2028
      1% up to  30/11/2029

    • Desktop Valuation Fee

      £95

  • A mortgage loan of £192,375.00 which will be payable over 40 years, initially on a fixed rate of 5.79%  until 30/11/2029 and then on our Standard Variable Rate, currently 8.59%, for the remaining period would require 60 payments of £1,030.45 and 420 payments of £1,396.10.

    The total amount payable would be £650,160.00 made up of the loan amount plus interest of (£455,814.00) plus a product fee of £999, a funds transfer fee of £25, a valuation fee of £340, a desktop valuation fee (£95), legal fees to your solicitor of £312, exit fee of £100 and solicitor's fee for independent advice for guarantor (£100).

    The overall cost for comparison is 7.9% APRC representative. 

  • Fees

    Valuation fees and solicitor fees may be payable
    Other charges may be made in respect of mortgage services
    See our fees guide for more details

    Parents providing additional security

    Parents or grandparents can use up to 60% of the value of their own property to help their child/grandchild onto the housing ladder.

    The Society will take a charge on the relative's property to bring the Society's overall LTV to 80%. The charge on the relative's property is for a set amount.

    The Society will undertake a TransUnion/Experian credit search and electronic verification on the guarantors.

    The relatives will have liability for any shortfall on the sale of the mortgage property in repossession subject to the maximum agreed at outset.

    The charge on the parent's property can be released subject to a re-valuation and satisfactory conduct of the mortgage account.

    We may also accept equity in holiday homes or Buy to Let properties other than the relatives' own, subject to individual approval.

    Additional Security Calculator

    Please complete our Additional Security calculator to assist in calculating the amount of charge required on the parent's/grandparent's home.

    Requirements for Parents/Grandparents assisting

    The Society will require a basic valuation of the parent's property, this will be undertaken as an AVM Desktop valuation on this scheme. Please check below for property exclusions for AVM option.

    The Society will undertake a TransUnion/Experian credit search and electronic verification on the guarantors.

    Guarantors will need to provide statements for any mortgage or secured loans on their property.

    Society would require that the parents have a clean credit history and to verify that any existing mortgage is not on a roll up basis.

    Parents would need to take and evidence that they have had independent legal advice to ensure they are fully informed and that the solicitor can identify potential vulnerable persons.

    AVM/Desktop Valuation Property Criteria

    A desktop valuation figure is calculated using information from a variety of resources and databases. This figure is checked and endorsed by our panel of RICS surveyors. Due to the nature of this calculation, the valuation figure cannot be challenged.

     If we are unable to complete a desktop valuation, then a standard valuation will be required. Our usual valuation fee will apply should a standard valuation be required following an unsuccessful desktop valuation attempt and the original desktop valuation fee will not be refunded.

    Please click here to review the Desktop Valuation Form Checklist

    The desktop valuation model will not be suitable for all properties and the exclusions are listed below:

    properties with more than 4 bedrooms,

    property value in excess of £1m

    minimum estimated value below £100,000 outside the M25 and below £150,000 inside the M25

    no online visibility and/or has not transacted within the last 5 years

    properties accessed from a private road

    inconsistent property attributes

    flats or maisonettes

    new build property (constructed in the last 24 months), self builds or properties under construction

    HMO’s (including student lets) or multi-unit freehold blocks

    shared ownership properties; properties being used as a holiday let or ex Local Authority properties

    commercial properties or properties located above or directly adjacent to commercial properties

    properties where the flying freehold is suspected to be greater than 20%

    properties with more than 1 acre of land and/or subject to resale restrictions (age/occupancy)

    Listed properties

    holiday lets

    properties of non-traditional construction

    properties suspected to be in poor condition and/or subject to renovation/refurbishment

    new build, self-build or properties under construction

    properties with less than 85 years unexpired lease term

    properties where the EPC rating is F or G             

    Acceptable Credit Criteria

    This product accepts our standard credit criteria click here for details

    Early Repayment Charge (ERC)

    Early Repayment Charges as detailed below are payable on any lump sum or full redemption repaid over 10% of the capital balance.

    5% up to 30/11/2025
    4% up to 30/11/2026
    3% up to 30/11/2027
    2% up to 30/11/2028
    1%  up to 30/11/2029

    Overpayments

    During the early repayment charge period lump sum overpayments up to 10% of the capital balance per annum may be made without attracting an early repayment charge. Should the total of lump sum overpayments exceed 10% within this period, the excess will attract an early repayment charge.

    Once the early repayment charge period has ended overpayments can be made at any time.
    If an overpayment of £500 or more is made, we will recalculate the monthly payment the following month.

    Affordability

    You can check affordability through our calculator where we assess on affordability as an alternative to income multiples. Please note we will fully review bank statements and expenditure during the underwriting process. Click here to find out more

    Repayment

    This mortgage is available on a capital repayment basis. Payments must be made monthly by direct debit.

    Age Limits

    The minimum age is 18 for all applicants. There is no maximum age. Earned income considered up to age 75. Cases are considered on individual circumstances.

    Loan Size

    Minimum loan size £50,000.
    Maximum loan size £500,000.

    Mortgage Term

    The maximum mortgage term is 40 years dependent on individual circumstances.

    Portability

    This product is portable, meaning that if the applicant moves home they can take it with them, subject to our lending criteria at the time.

    Interest

    Interest is calculated daily on the balance outstanding and added to the account the following month.