An online tool which helps would-be homeowners navigate their buying options and receive tips on their finances has been launched today by Leeds Building Society.
First Home Helper, which is available on the mortgage lender’s website, runs through a series of questions then gives the user hints and tips based on their circumstances.
For example, it can help aspiring homebuyers understand how much they can borrow and what they will need to put away each month to save for their deposit.
But it will also offer information about different mortgages and schemes that are available in the wider market.
Leeds, which has joined forces with fintech company Life Moments to create the tool, said it would have options to suit different circumstances. From standard or low deposit mortgage to Rent to Own schemes, family guarantor mortgages, Joint Borrower Sole Proprietor mortgages, and Shared Ownership.
It makes it ideal for aspirational first-time buyers who are unclear on the options available to them, and how long it might take them to get onto the property ladder.
Indeed, research by the building society revealed just how confusing first-time buyers find the home buying process. More than a third of those quizzed had never heard of Shared Ownership before – despite it being route which could genuinely help put homeownership within reach of more people.
Shared ownership allows buyers to purchase a percentage of the property and rent the rest, meaning they require a smaller deposit and repayments are more manageable.
Leeds said it had seen a 19% increase in applications for Shared Ownership mortgages in the first five months of this year compared to 2022.
Vanessa Roberts, head of strategy and responsible business said: “There has never been a more challenging time to get on the housing ladder, and for many the home buying process can feel confusing and overwhelming.
“Leeds Building Society’s new First Home Helper online tool will allow those aspiring to get onto the property ladder to explore the different routes to homeownership and offer tips that might help them get onto the property ladder sooner.
“Helping aspirational homeowners to get a foothold on the ladder is at the heart of our purpose. Creating this new tool in partnership with Life Moments allows us to support first-time buyers as they navigate the options available to them and give them the confidence to take the first steps towards buying their own home.”
