The Welsh building society previously offered 85% LTV on new-build properties.
In addition, Principality will also commence lending up to 75% LTV on buy-to-let, new-build flats or houses in England and Wales.
Both these changes have been introduced by Principality with immediate effect.
The building society has claimed that it has made the changes in response to the increase in new-build houses and flats being built across the UK and the call to make mortgage products more affordable on these types of properties.
- Average new-build homes will have to last 2,000 years, warns LGA
- Lovell begins work on £3.4m sustainable new-build development
- Lloyds extends new-build lending
“The UK’s new-build market is showing positive signs of growth, with a much healthier outlook in the long run for those hoping to get on the property ladder,” said Shaun Middleton, head of regulatory sales at Principality Building Society (pictured above).
“But we understand that many first-time buyers across the country have smaller deposits, so are looking for mortgage products to reflect that.
“Principality is expanding its mortgage lending offers on new-build properties to give more choice to buyers for their needs and, importantly, help the new-build market continue to prosper.”