Lenders try to entice the reluctant with cash
Your support helps us to tell the story
From reproductive rights to climate change to Big Tech, The Independent is on the ground when the story is developing. Whether it's investigating the financials of Elon Musk's pro-Trump PAC or producing our latest documentary, 'The A Word', which shines a light on the American women fighting for reproductive rights, we know how important it is to parse out the facts from the messaging.
At such a critical moment in US history, we need reporters on the ground. Your donation allows us to keep sending journalists to speak to both sides of the story.
The Independent is trusted by Americans across the entire political spectrum. And unlike many other quality news outlets, we choose not to lock Americans out of our reporting and analysis with paywalls. We believe quality journalism should be available to everyone, paid for by those who can afford it.
Your support makes all the difference.THE reintroduction of stamp duty should intensify pressure on mortgage lenders to offer discounts and other incentives to tempt reluctant buyers, writes Maria Scott. Some are giving money away to soften the blow. The bill for stamp duty on a typical first-time buyer house in the South-east is about pounds 600.
From Wednesday, The Mortgage Corporation (TMC) is offering new customers up to pounds 200 towards legal fees and up to pounds 200 towards valuation fees. Those unable or unwilling to fund their deposit out of their own resources will also be given a type of insurance policy, worth about pounds 100, to guarantee the deposit between exchange and completion.
Would-be borrowers are being offered a four-year fixed-rate loan by TMC with an interest rate of 10.4 per cent until 31 July 1996. TMC is also reducing its standard variable mortgage rate from 11.75 per cent to 10.99 per cent. A pounds 395 arrangement fee for the deal can be added to the mortgage.
Citibank will pay up to pounds 400 of stamp duty for first-time buyers in a package that includes two years' free unemployment cover. The mortgage with this deal has a rate of 10.73 per cent, but will move in line with the average rate charged by the 10 largest societies. There is an arrangement fee of pounds 295. Leeds Permanent Building Society is expected to launch two new mortgage deals next Wednesday. Abbey National is continuing to promote its two fixed- rate deals for first-time buyers.
Join our commenting forum
Join thought-provoking conversations, follow other Independent readers and see their replies
Comments