Dudley Building Society has launched a new mortgage product in support of the government’s First Homes Scheme aimed at helping underserved mortgage applicants.

The five-year fixed First Homes product is available at up to 90% LTV at 2.99% and it has a maximum loan size of £225,000 for locations outside London. The maximum loan size for properties in London is £378,000.

Dudley BS commercial director Kieron Blackburn says: “Our purpose of making homeowners’ dreams a reality is something that we constantly strive towards. We have seen the impact that ever-increasing house prices have had upon prospective borrowers, who struggle to meet affordability in their current circumstances.”

“This has prompted us to continuously review our mortgage offering, so we can ensure it meets the needs of the underserved,” he adds.

Dudley is the latest lender to offer mortgages designed for the government’s scheme. The programme offers buyers a discount of at least 30% on new build homes. It targets local first-time buyers and key workers.

“Our dedication towards providing solutions where others can’t has drawn us towards supporting this Scheme, and our new product offering is designed to meet the needs of first-time buyers who struggle to get onto the property ladder,” adds Blackburn.

“The government assistance that the First Homes Scheme provides is a step towards improving affordability for prospective borrowers, and we look forward to being involved in this important initiative to enable more people to buy their own homes.”