Chelsea Building Society has launched a new first time buyer mortgage.

The new mortgage range will offer offset at no additional cost to the mortgage. Customers will also get 1% of the value of the loan as cash back, helping them towards the costs of stamp duty, or any of the other costs involved in buying their new home.

“Prior to launch we carried out research with both current and potential first time buyers,” explained Sunjeev Sahota, Chelsea Building Society product manager.

“One of the findings that stood out was that current first time buyers value offset and that three in four potential first time buyers intend to continue saving post-purchase. This is something we want to encourage, and is why the offset functionality in our first time buyer range comes with no additional cost – something which is unique in the market.

“First time buyers also told us that the upfront cost they wanted most help with was stamp duty. This is why we’ve introduced the 1% cash back feature: it’s up to customers how they use the cash back, but with stamp duty at 1% for residential properties valued between £125,000 and £250,000, this will be a big help for a lot of first time buyers.”

Rates across the range of two-year products are as follows:

2.99%, 75% LTV, £1,495 fee
3.19%, 75% LTV, £495 fee
4.24%, 85% LTV, £495 fee
4.49%, 90% LTV, £1,495 fee

“”We have listened to first time buyers, and we recognise that each individual case is unique, but this new mortgage range with offset, cash back, competitive rates and exceptional customer service highlights our focus and determination to offer excellent mortgages and to continue helping first time buyers step onto the property ladder,” added Sahota.