PARENTS looking to put down a deposit to help their children buy a new home from David Wilson South Midlands will now be able to apply for an unsecured personal loan of up to £50,000 from Hitachi Capital (UK) PLC, it was announced today.

The tie-up means that for the first time parents can borrow the money to help their children onto the property ladder without either having to re-mortgage or put a second charge on their own homes.

The product is the only one of its kind currently on the market and is specifically designed to address current mortgage restrictions. Significant numbers of creditworthy first-time buyers are largely dependent on parental support because they do not have the 20 or 25 per cent deposit which lenders now require.

But many parents - who regard home ownership for their children as a sensible medium-term investment - are often reluctant to fund a deposit if any loan has to be secured against the principal family property.

Under the Hitachi Capital loan scheme, the typical buyer will only need to raise a deposit of five per cent. An 80 per cent mortgage is available from a number of High St lenders. And the remaining 15 per cent of the purchase price can be met through an unsecured loan from Hitachi Capital (UK) PLC to the buyer's parents or legal guardian.

Hitachi Capital (UK) PLC is offering unsecured loans of up to £50,000 for a period of 12 years at a fixed rate of 5.4 per cent. There are no early repayment charges and unlimited overpayments are allowed at any time during the agreement without penalty.

Jackie Day, Sales Director at David Wilson, comments "This product is ideal for parents who have sufficient income to service a loan but no available capital. Or people who have capital which is tied-up and which they do not want to access in the short-term."

Gerald Grimes, Managing Director of Hitachi Capital (UK) PLC, said: "This innovative David Wilson loan gives parents an affordable option to support families getting on the housing ladder without dipping into hard earned savings."

Parents or former guardians who wish to assist their children with a home purchase from David Wilson South Midlands will be eligible for the loans. Applicants must be UK residents, homeowners and have a good credit history.

This deal is currently being offered all David Wilson developments throughout Northamptonshire which include:

Arena Gate
Duston St Lukes
Northampton
NN5 6FB
Offering a superb selection of two-, four- and five- bedroom homes. Prices start from £134,995.

Domus
Upton Way
Sixfieds
Northampton
NN5 4EQ
Boasting an innovative selection of four- bedroom detached homes. Prices start from £434,995.

Woodcote Park
Towcester Road
Silverstone
Northants
NN12 8UB
An exclusive collection of three- and four- bedroom homes. Prices start from £254,995.

To find out more call the sales hotline on 0844 811 4477 or log onto the website at www.dwh.co.uk

David Wilson South Midlands was given a five star rating in this year's HBF Customer Satisfaction Survey, in which consumers are asked if they are satisfied with the quality of their new home and whether they would recommend their builder to a friend.

For added peace of mind, buyers can also benefit from David Wilson's new five year guarantee on fixtures and fittings in their new home at the time of purchase. Items covered at no extra cost to the buyer will include appliances such as washing machines and refrigerators, kitchen units, wardrobes, the central heating system, fires, doors, windows, drainage, the hot and cold plumbing system and even the driveway.

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