Aldermore has launched a Help to Buy: equity loan scheme through a group of selected distribution partners.

Under the scheme, Aldermore is offering a two-year fixed rate repayment mortgage at 3.98% with a maximum loan to value (LTV) of 75%.

The mortgage comes with a £999 completion fee and free standard valuation and under the terms of the Government scheme, it can only be used to purchase new build residential properties. It will also be available directly to consumers.

Aldermore is already part of the Help to Buy: mortgage guarantee scheme.

Charles Haresnape (pictured), managing director of mortgages and commercial lending at Aldermore said: “We are delighted to be launching our Help to Buy: equity loan mortgage today. This complements our existing range of Help to Buy: mortgage guarantee products and demonstrates our commitment to supporting first time buyers, home movers and house builders.

“It is essential that the supply of new and affordable housing is increased in Britain to keep pace with demand from the formation of tens of thousands of new households each year. Joining the Help to Buy: equity loan scheme is one of the ways in which we can help support this. I’m confident that this will prove to be successful and we hope to roll the scheme out to additional brokers in due course.”