Leeds Building Society launches new tool to help prospective first-time buyers

The new First Home Helper tool goes live on the Leeds Building Society website today.

The tool runs through a series of questions to give people useful hints and tips around their current financial situation and help them to understand how much they may be able to borrow and how much they should put away each month. It also provides informative highlights about different mortgages and schemes that are available in the wider market.

The options available to suit different circumstances could include standard or low deposit mortgages, rent to own schemes, family guarantor mortgages, joint borrower sole proprietor mortgages, and shared ownership.

The tool will suggest routes to homeownership for aspirational first-time buyers who are unclear on the options available to them, and how long it might take them to get onto the property ladder.

Leeds Building Society, which is led by chief executive Richard Fearon, conducted research last year, showing how confusing first-time buyers find the home buying process, with more than a third (36 per cent) of people never having heard of shared ownership before – a route that could help put homeownership within reach of more people.

Shared ownership can help aspirational homeowners to get a foothold on the property ladder as buyers need a smaller deposit, allowing them to buy sooner than they might otherwise. The society said it has seen a 19 per cent increase in applications for shared ownership mortgages in response to the challenging housing market and cost of living crisis.

Vanessa Roberts, head of strategy and responsible business said: “There has never been a more challenging time to get on the housing ladder, and for many the home buying process can feel confusing and overwhelming.

“Leeds Building Society’s new First Home Helper online tool will allow those aspiring to get onto the property ladder to explore the different routes to homeownership and offer tips that might help them get onto the property ladder sooner.

“Helping aspirational homeowners to get a foothold on the ladder is at the heart of our purpose. Creating this new tool in partnership with Life Moments allows us to support first-time buyers as they navigate the options available to them and give them the confidence to take the first steps towards buying their own home.”