Hinckley introduces four new joint borrower sole proprietor mortgages

Hinckley & Rugby Building Society has launched four exclusive mortgages for residential Joint Borrower Sole Proprietor (JBSP) applications.

All four mortgages are fee-free and designed to enable, for example, parents to help a son or daughter to buy a home with the only charge being on the property being purchased.

The buyer’s income is then boosted by that of the joint borrowers as part of the application but without adding them to the title deeds and with no need for any savings to be lodged with the Society as security.

The four JBSP fee-free mortgages are:

·     Two years fixed at 3.49% for up to 95% LTV

·     Two years fixed at 2.69% for up to 90% LTV

·     Five years fixed at 3.89% for up to 95% LTV

·     Five years fixed at 3.19% for up to 90% LTV

The early repayment charge (ERC) for the two-year fixes are 2% during the fix, while the ERC for the five-year fixes are on a sliding scale from 5% in year one to 1% in year five. There is a free property assessment for homes valued up to £1 million.

Carolyn Thornley-Yates, head of sales and marketing at Hinckley & Rugby, said: “We began offering Joint Borrower Sole Proprietor mortgages in 2016 and they have been very much in demand ever since, especially amongst parents who already own their home and want to help a son or daughter.”

“Releasing these four new mortgages makes Hinckley & Rugby an even more attractive proposition to JBSP applicants. As well as parents helping sons and daughters, we’ll also consider non-family members as joint borrowers.”

She added: “Our manually underwritten processing and absence of any maximum age at term-end brings a JBSP mortgage within the reach of many families and friends.”