The Lloyds bank lend a hand (Guide)
What is the lloyds bank lend a hand mortgage🙌🏻
The lloyds bank lend a hand mortgage is a mortgage which allows parents or family members to help their loved ones get onto the property ladder by parking away their savings in a lloyds bank savings account for a fixed interest over 3 years. Their kids or relatives will then be able to get a 100% mortgage from lloyds bank at a fixed rate for a period of 3 years after which they will move over to lloyds bank variable rate.
The amount of savings that the Lloyds bank lend a hand mortgage will require from your family relatives will need to be equal to 10% of the property price and they will receive a fixed interest of 2.5% .
You will be able to get a deposit free 100% loan to value mortgage with the Lloyds bank lend a hand mortgage.
The issue with the Lloyds bank lend a hand mortgage is that it already serves those who in reality don’t need much help.
Why? Well if your family relatives already have 10% of a £500k or £300k house in their bank accounts and are willing to forgo this money for 3 years albeit for some interest then you will likely fit in the bracket of people who are the most fortunate out of the incredible list of people unfortunately struck with high student debts, high rent, little disposable income to save away and of course parents who are in debt with little savings.
Does the Lloyds bank lend a hand mortgage solve a problem? 🧐
Yes, it does but will it be the cure to the the mortgage affordability problem? No but at least it’s an effort that few will be happy exist.
The only other three-year fixed rate 100% mortgage available is from Barclays, which is charging borrowers three per cent for the mortgage and pays 2.25% on the savings contributions from your family.
In comparison to this the lloyds bank lend a hand mortgage is competitive.
Ps. The Lloyds bank lend a hand mortgage is not available for new build properties.
The Lloyds bank lend a hand mortgage is also only available to properties up to £500k.
If you are seeking the Lloyds lend a hand mortgage then you may want to consider a mortgage broker who can provide you mortgage advice on a range of mortgages you may be eligible for as the Llods lend a hand mortgage may not necessarily be the best mortgage option for you.
If you have bad credit or are self employed then you may need to seek the services of a self employed mortgage broker or a mortgage broker for bad credit borrowers.
If you need financial advice and you live in the UK then you could contact the Money Advice service over the phone or via chat for impartial advice.
You can also contact the debt charity “Step Change” if you are in debt and need help.