Ecology Building Society has launched a mortgage product to help first-time buyers in Scotland.

The new Ecology First Homes Mortgage (Scotland) can be used by anyone purchasing a property using the Scottish Government’s First Homes Fund.

Ecology becomes the 11th official lender of the fund.

The fund helps people overcome the barrier of raising a deposit, with the Scottish Government providing up to £10,000 towards the purchase of their first home.

Ecology’s First Homes Mortgage will then help them to finance the purchase, with a mortgage of up to 95% loan-to-value (LTV) on properties worth up to £300,000.

The product includes a free standard valuation and variable interest rate of 5.69% (5.8% APRC).

Ecology Building Society chief executive Gareth Griffiths says: “For many aspiring homeowners, the dream of buying a first home can feel increasingly out of reach. Rising house prices and the challenge of saving for a deposit mean too many people are locked out of home ownership.”

“The Scottish Government’s First Homes Fund is helping to change that, and we’re delighted to launch a mortgage designed specifically to work alongside it. By combining government support with higher loan-to-value lending, we’re making it easier for first-time buyers to turn ambition into reality.”