Properties must be located in the following post code area; AL, BA, BH, BN, BS, DT, EX, GL, GU, HA, HP, HR, KT, LU, MK, NN, OX, PO, RG, RH, SG, SL, SM, SN, SP, SO, TA, TW, UB, WD, WR. Products available to those purchasing their residential home subject to product terms. The mortgage term must be between 5 and 35 years. Minimum property value of £125,000.
£50,000 (Min) - £500,000 (Max)
Legal work is required when buying your home and when switching your mortgage to us from another lender (remortgage). When buying your home the legal work is carried out by a solicitor and is payable by you. We can use the same solicitors as you, providing there is a minimum of four Approved Managers/License Holders and they are registered on The Law Society website (www.lawsociety.org.uk).
Licensed conveyancers are also acceptable for residential business only. The conveyancer must be registered with the Council of Licensed Conveyancers and be in a firm with at least four Approved Managers/License Holders.
A valuation of the property will be required to assess the security offered for the loan and is payable by you. We offer the choice of either a basic mortgage valuation, which is for us to assess security only, or a Home Buyer’s Report that will give you a more comprehensive guide to the condition of the property. If you would like a full building survey, we will give you the names of some local surveyors who you can contact to give precise instructions and negotiate a price. See our Mortgages explained booklet for full details.
The property must be purchased through a Newbury Building Society approved Discount Market Sales (DMS) scheme.
Maximum loan to value
Loan to Value (LTV) is the proportion of the market value or price of the property (whichever is the lower) that you borrow on a mortgage. For example, a £150,000 mortgage on a house valued at £200,000 would mean an LTV of 75%.
The Loan to Value (LTV) of the discounted price is based on the proportion of the property value that you borrow after the Council discount. For example, if the market value of the property is £200,000 and you receive a 20% discount (£40,000), the discounted property price is £160,000. A £144,000 mortgage on the discounted property price of £160,000 would mean an LTV of 90%.
You will need to have a personal deposit of at least 10% of the discounted purchase price of the property.
All loans must be on a capital and interest repayment basis.
Application fees can be added to the mortgage and are refundable if the mortgage does not take place. If you add the application fee to your mortgage, this increases the amount you borrow and will also increase your monthly payments.
A Mortgage Exit Administration Fee (MEAF) applies when you repay your mortgage. Please see our Tariff of Charges leaflet and your Key Facts Illustration (KFI) for details.
House purchases must complete within three months of the date of the formal mortgage offer. For new build properties the mortgage offer is valid for up to six months. The application must be able to complete within the product timescales. Therefore, the new build property must be completed and available for occupation within six months of the mortgage offer.
All our mortgages are portable, which means that if you move house within an early repayment charge period the product can be transferred to your new mortgage, up to the value of the product outstanding at redemption, without charge. If the loan amount on your new mortgage is lower, there may be a charge based on the difference between the old and the new loan amount.
Charges applying to the ongoing administration of your mortgage are detailed in our Tariff of Charges leaflet, which you will be given before your mortgage completes.