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Virgin Money ‘Stamp Duty Buster’ for Help To Buy Equity Loan Customers

08/08/2014

This information is intended for use by journalists and is correct at the time of publication. Customers wanting to view our current mortgage range should visit our mortgages pages.

  • Virgin Money adds innovative ’Stamp Duty Buster’ mortgage to its Help To Buy Equity Loan range
  • The new product will help customers with the costs of buying a new home
  • £3,000 cashback for customers who take a longer-term product

Virgin Money has launched an innovative ‘Stamp Duty Buster’ mortgage as part of its Help To Buy (HTB) Equity Loan range, to assist first and next time buyers with all of the costs associated with buying a new build home.

The ‘Stamp Duty Buster’ is designed to assist those purchasing their new homes through the HTB Equity Loan Scheme and the help will come in the form of a £3,000 cashback payment. The cashback is designed to cover items such as Stamp Duty, legal fees and valuation costs, based upon the average house purchase price within the HTB Equity Loan scheme to date. Current market data provided by the Council of Mortgage Lenders indicates that around two-thirds of HTB Equity Loan completions to date have been for properties between £125,000 and £250,000, with an average of £200,000.

The new products are a three year fixed rate at 3.69% with a £995 product fee and for customers who wish to fix their mortgage rate for a longer period Virgin Money is offering a five year fixed rate at 3.99% with a £995 product fee. These products are available on properties with a price between £125,000 and £250,000.

The products are available with immediate effect through Virgin Money’s key new build intermediary partners.

The remainder of the HTB Equity Loan mortgage range remains unchanged and available for properties up to £600,000. They continue to offer £800 cashback which customers can also use to help with legal fees, valuation fees, or the general cost of moving home.

The Help to Buy Equity Loan scheme allows a customer to buy a new-build home with just a 5% deposit. The Government then loans up to 20% of the property value, with a mortgage making up the remaining 75%. The scheme allows customers to purchase a newly-built home with a smaller deposit whilst keeping monthly costs down as the equity loan is fee-free for the first five years.

Anthony Mooney, Director of Financial Services said: "We believe that our ‘Stamp Duty Buster’ is an innovative concept and that it will prove particularly attractive to first time buyers who make up 85% of all Equity Loan completions to date, within the Help to Buy Equity Loan Scheme. Virgin Money continues to support first time and next-time buyers who all form an important part of a healthy and vibrant mortgage market."


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Media Contacts

Virgin Money Press Office
0191 279 4676

press.office@virginmoney.com


NOTES TO EDITORS


About Virgin Money

  • Virgin Money provides savings, mortgages, credit cards, pensions, investment and protection products
  • Virgin Money’s business ambition is to make "everyone better off" – this philosophy underpins our approach to business by offering good value to customers, treating employees well, making a positive contribution to society and delivering a profit to shareholders
  • Virgin Money is the official sponsor of the London Marathon, the biggest annual one-day fundraising event in the world. Virgin Money has helped London Marathon runners raise over £¼ billion through Virgin Money Giving, the not-for-profit online fundraising service, since 2010.

Supplementary notes

The information contained in this press release is intended solely for journalists and should not be used by consumers to make financial decisions. Any consumer interested in learning more about this product should visit http://uk.virginmoney.com/virgin/mortgages/ for full terms and conditions.

Virgin Money plc - Registered in England and Wales (Company No. 6952311). Registered Office - Jubilee House, Gosforth, Newcastle upon Tyne NE3 4PL. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority.