RBS commits to 95 per cent mortgages

The government’s Help to Buy: Mortgage Guarantee finishes at the end of the year.

NatWest and Royal Bank of Scotland were among the first providers to offer mortgages through the scheme and, following its success, are committed to continuing to help first-time buyers and those buying their next home.

The new mortgage product will be open to everyone eligible under the government scheme as well as those looking to buy a second home. The maximum home value remains at £600,000.

The government scheme was most popular with first-time buyers with four in five (79 per cent) applications from customers making their first steps on the property ladder. On average a NatWest first-time buyer pays £216k for their home and Royal Bank of Scotland first-time buyer pays £137k.

Lloyd Cochrane, head of mortgages at RBS, said: “Buying your first home is a huge moment for our customers and we are committed to doing everything we can to help people realise that ambition.”

The rates available are the same as under the government scheme ranging from 3.69 per cent to 4.59 per cent. The new mortgage product is open to customers from 22 November 2016.