The Leeds Building Society has reduced the rate on its two-year fixed rate shared ownership mortgage, available up to 95% borrower’s share, by 0.70 percentage points to 4.99%.

The product also offers a free standard valuation up to £335 and has no higher lending charge.

It comes with a £200 completion fee and £199 booking fee.

There are tapered early repayment charges of 3% of the amount redeemed in year one and 2% in the second year.

“We are all well aware of the difficulties facing first time buyers buying a home,” explained Kim Rebecchi, Leeds Building Society’s sales and marketing director. “They can often struggle to meet the full asking price or their current income is insufficient to support a full mortgage.

“Our two-year fixed rate shared ownership product, at only 4.99% following a rate cut of 0.70%, is ideal for customers who have saved for a deposit but cannot buy a property in their own right.

There is no doubt that this product will prove attractive to those customers who are ready to make the first step into home ownership.”