A building society has launched a product which it says appeals to tenants who feel “trapped” in private rental properties.

Skipton Building Society, which already has a 100% loan to value Track Record mortgage, has now extended it to allow applicants who are currently renting but previously owned.

And it’s increasing its maximum term from 35 to 40 years and the product – previously restricted to existing properties – is now available on new build flats.

The society has also relaxed its rent-to-monthly-mortgage payment criteria meaning it will consider loans which have monthly payments up to 120% of the rent the customer is currently paying – until now it was a 100% limit. 

The final change is that the Track Record product is now acceptable in conjunction with a shared ownership mortgage. 

Jen Lloyd, head of mortgage products and propositions at Skipton Building Society, says: “At an increasingly difficult time for those aiming to get onto the property ladder, we remain committed to finding innovative solutions to support them. Our Track Record Mortgage, which launched in May last year, was designed to help aspiring homeowners who have a strong history of paying rent and bills but due to rising costs are unable to save for a house deposit. 

“And since its launch we have worked hard to make various policy changes to open those doors for even more, listening to customer feedback and monitoring how the product is used. Today, we’re delighted to not only launch a shared ownership version of the product but to expand this offering once again with a series of enhancements that will help even more trapped renters. 

“By increasing the maximum term from 35 to 40 years, allowing new build flats, introducing a shared ownership option, and adopting a more flexible approach to affordability, we’re removing some of the barriers people faced when wanting to use Track Record. We believe that these updates will have a real impact for those who are wanting to have a home of their own.”