Helping Hands: How April Mortgages is Making it Easier for First-Time Buyers to Get on the Property Ladder

In an effort to support first-time buyers, April Mortgages has improved its capital raising criteria, making it easier for borrowers to raise additional capital for gifting purposes when remortgaging. This move comes as a welcome relief to many would-be homeowners who have been struggling to save for a deposit in the face of rising household bills and increasing house prices.

The Rise of the ‘Bank of Mum and Dad’

According to research from Legal & General, more than 314,000 house purchases in 2023 were supported by the ‘Bank of Mum and Dad’, with gifts averaging over £25,000. This trend is likely to continue, as many first-time buyers rely on financial support from loved ones to supplement their existing deposit savings.

House prices continue to rise, making it harder for first-time buyers to get on the property ladder.

April Mortgages’ Solution

April Mortgages’ improved capital raising criteria allows borrowers to borrow up to 4.5 times their income for gifting purposes. This expansion of eligible reasons for capital raising follows the lender’s increase of maximum loan-to-income (LTI) caps to up to six times income for first-time buyers.

A Spokesperson for April Mortgages Says…

Home ownership has become harder to achieve for would-be buyers in recent years, as it has become more challenging to save the required deposit. April Mortgages is passionate about supporting first-time buyers, and by expanding our capital raising criteria we are making it easier for loved ones to gift deposits while also benefiting from the vital peace of mind our products provide.

A Range of Fixed-Rate Mortgages

April Mortgages offers a range of five to 15 year fixed-rate mortgages, available up to 95% loan to value. As the borrower drops into a lower LTV band, for example through the repayment of the mortgage or house price growth, their rate will reduce accordingly, providing them with even more peace of mind.

April Mortgages offers a range of fixed-rate mortgages to suit different needs.

Conclusion

April Mortgages’ improved capital raising criteria is a welcome move for first-time buyers who are struggling to get on the property ladder. With the rise of the ‘Bank of Mum and Dad’ and increasing house prices, it’s more important than ever for lenders to provide support and flexibility to would-be homeowners. April Mortgages’ range of fixed-rate mortgages and improved capital raising criteria make it an attractive option for those looking to take their first step onto the property ladder.