Nationwide has announced it is increasing the maximum loan-to-value (LTV) available for those looking to purchase a new build house.

The mutual will increase the maximum LTV from 85% to 90%.

The change means potential buyers will be able to apply for a Nationwide mortgage on a newbuild house with just a 10% deposit.

Nationwide director of intermediary relationships Ian Andrew says: “As a mutual, we are committed to creating a vibrant and growing housing market and believe this change will demonstrate that we are fully behind the government’s housing ambitions.”

“By increasing our maximum loan-to-value on lending for new-build houses, we hope to help even more people into their first home or move onwards to their next.”