Newcastle for Intermediaries expands 98% First Step mortgage to whole market

Newcastle for Intermediaries has announced that it has broadened the distribution of its First Step mortgage product to the whole of market, following its initial launch with London and Country Mortgages, Connells Group, and Mortgage Advice Bureau in September.

First Step is designed to support first-time buyers with smaller deposits, offering lending up to 98% LTV. Eligible borrowers need a minimum cash deposit of just £5,000, helping them take a crucial first step onto the property ladder, with a maximum loan of £350,000.

Product features

The product includes a five-year fixed rate of 5.25% (6.2% APRC) and comes with:

A free standard valuation up to £550,000

The ability to make 10% overpayments per annum

These features aim to provide flexibility and affordability for borrowers entering the housing market with limited deposits.

Francesco Di Pietro (pictured), head of intermediary mortgages at Newcastle Building Society, said: “We know how challenging it is for many first-time buyers to save large deposits. First Step gives those who have worked hard to save a small deposit a genuine chance of owning a home, offering up to 98% LTV with a competitive five-year fixed rate and straightforward eligibility checks."

"It’s a practical solution designed to help more people take that first step into home ownership and we are pleased to be able to expand distribution to the wider market.”