Scottish housebuilder promises fixed rate to suitable buyers in move to counter housing downturn
Housebuilder Cala Homes is guaranteeing eligible buyers fixed-rate mortgages of less than 6% in an attempt to get people moving house again.
The Scottish firm announced the move as part of a package designed to stave off the effects of the housing downturn that has led to redundancies within the company.
Cala said it would introduce purchasers to its preferred lenders and promised suitable buyers a 5.99% rate on its new homes throughout the UK. It will also refund the arrangement fee on completion.
The lack of both buyers and of mortgage liquidity is hampering the housing market
Managing director Alan Downie said: “The lack of both buyers and of mortgage liquidity is hampering the housing market. This package enables us to offer a fantastic opportunity to purchase our new homes on preferential terms.”
The move comes at a time of great instability for the housebuilding sector.
Yesterday Barratt issued a City statement after its share price halved and Bellway, Persimmon, Taylor Wimpley, David McLean and Crest Nicholson have all announced redundancies in recent weeks.