In these tough economic times any help first time buyers can get to secure their first home is always going to come in handy. It's this sort of assistance that the Bath Building Society are providing to help first time buyers to reach that all important first step on the housing ladder. Their approach to providing this help is through their latest specialist mortgage.

Launched earlier this year, the Parental Assisted Mortgage Scheme (PAMS), is an innovative product designed to help young people to buy their first property, with their parents acting as guarantors for the loan. At a time when most deals for first time buyers have dried up, many lenders

are asking for deposits in the region of 25 per cent. By using a parental guarantee, combined with a collateral charge over some of the equity from the parents home, Bath Building Society is leading the way by offering more to first time buyers.

The mortgage can also be utilised by second time buyers, wishing to take their next step up the ladder. The mortgage will enable buyers to borrow up to 90 per cent of the purchase price of their home. In many cases the buyers will also be able to rent out an additional room in the property to a lodger to help cover the mortgage repayments.

Malcolm Graham–Jones, Head of Lending at Bath Building Society, said: "Now that prices have dropped back in the property market, this is a good time for buyers to reach the first, or their next, step on the housing ladder. Until now, the problem they have faced is a lack of mortgage funding, which means that lenders will only provide mortgages to those with the highest deposits. Also, with lower interest rates in the market, and the value of properties well below their peak, we can envisage a number of people wanting to take advantage of this product."

Bath Building Society are well–known for their innovative mortgage products. In 2006 they launched the pioneering Buy for Uni mortgage, which allows students to purchase a property with their parents acting as guarantors for the loan. Many of the principles successfully utilised in this product have been adapted to the Parental Assisted Mortgage Scheme.

For more info on Bath Building Society and their services, visit www.bathbuildingsociety.co.uk