Leeds Building Society has launched a savings product specifically designed to support shared ownership mortgage holders.

The shared ownership saver offers an interest rate of 6%, enabling members to grow savings faster and increase their ownership percentage on their homes through staircasing.

The government rolled out a shared ownership model in 2021, with the intention of making it easier for borrowers to staircase in smaller 1% increments.

The average shared ownership property purchased by the society’s members is valued at around £287,700.

In this instance, to staircase by a 1% increment the mortgage holder would need to save £2,877, meaning someone saving £100 per month could reach this goal in 27 months.

Research conducted by the society in 2022 showed 60% of respondents who were hoping to buy within the next five years said that shared ownership could help them get on the ladder.

Meanwhile, 22% of homeowners felt it would have helped them get on the ladder sooner.

The society says it has seen a 19% increase in applications for shared ownership mortgages in the first five months of this year compared to the same period last year (Jan-May 22).

Leeds Building Society director of products Matt Bartle says the company is continuously looking for new ways to help people get onto and climb up the property ladder.

He adds: “We are proud to launch this new savings product, which is tailored to the unique needs of shared ownership mortgage holders.

“Shared ownership is a great solution to help aspirational homeowners get a foothold on the property ladder as buyers need a smaller deposit, allowing them to buy sooner than they might otherwise.

“This new savings product launch demonstrates our commitment to helping members achieve their goals faster.”

The shared ownership saver has a minimum balance of £100 and a maximum balance of £20,000.

The product is only available to customers who have a Leeds Building Society shared ownership mortgage.