Furness BS launches new Rate Reducer mortgage products from 3.29%

Furness Building Society has announced a new range of lower rate mortgages for new-build homebuyers, with a 3% contribution through the Own New scheme. The products complement the existing 5% contribution products, with rates starting from 2.01%.

The Own New Rate Reducer scheme uses a contribution offered by housebuilders and offsets them against mortgage interest, reducing the buyer’s monthly mortgage payments for a fixed period of two years. There is no cost to the homebuyer and they will own 100% of the property.

Furness’ latest Own New mortgage products are available via brokers for first-time buyers and second or third steppers.

The new 3% incentive rates are available from 3.29% at 80% LTV with a £999 fee, 3.77% at 90% LTV with a "999 fee, and 4.67% at 95% LTV with no fee.

Chris Pickstone, head of mortgage strategy at Furness Building Society, commented: “As one of the first lenders in the UK to participate in the Own New scheme, we’re pleased to be empowering homebuyers to take their first or next step up the property ladder by adding to our existing range of Own New mortgages.

“The scheme enables buyers to overcome two of the biggest obstacles when securing a home - affordability and deposit. Competitive rates means monthly repayments are reduced and 80-95% loan-to-value mortgages will mean it takes less time to save a deposit.”

Eliot Darcy, founder of Own New, said: “It’s great to extend our partnership with Furness Building Society. These new mortgage products serve to reinforce our aim of helping even more people either buy their first home or make the move to a different property.

“Furness was the first lender to offer Own New Rate Reducer with a 95% mortgage and this latest range continues that effort, making this innovative scheme accessible for buyers with lower deposits.”