Lend a Hand - No Deposit Mortgage
Get your first home sooner with the Lend a Hand mortgage. Buy your first property without a deposit and begin your journey on the property ladder.
How It Works
- A family member deposits 10% of your home's purchase price.
- The deposit is placed in a 3-year fixed-term savings account as security.
- This savings account earns interest over the 3-year period.
- During this time, you enjoy fixed monthly mortgage payments, helping you easily manage your budget.
- After 3 years, the family member receives their savings back with interest, provided all mortgage payments are made on time.
Legal and Account Details
Only you hold the mortgage and have legal rights to the property. The family member’s savings are initially deposited in an Easy Saver or Club Lloyds Saver account, which is converted to a Lend a Hand fixed savings account upon completion.
"The savings account can only be in the name of 1 family member. Once the money is in the Lend a Hand fixed savings account, it legally must stay there for 3 years."
Benefits
- No deposit required from the buyer.
- Security provided by family savings earning interest.
- Fixed monthly payments for 3 years for financial stability.
- Only the buyer’s name is on the mortgage and property.
Author's summary: The Lend a Hand mortgage helps first-time buyers enter the property market without a deposit by leveraging family savings as a secure, interest-earning guarantee for three years.