A scheme that gives would-be homeowners in the Mansfield area a helping hand onto the housing ladder has been re-launched by Nottinghamshire County Council and Lloyds Bank.

Nottinghamshire County Council has set aside £1m as part of new funding for the Local Lend a Hand scheme in Mansfield, Newark and Sherwood and Rushcliffe. The mortgages are available now through any branch of Lloyds Bank.

The funding will support at least 33 first-time buyers with their deposit, meaning they will only have to raise 5% of the property price, whilst enjoying the same benefits as if they were making a 25% deposit – such as lower fixed interest rates and lower monthly repayments.

Local Lend a Hand mortgages are only available to first-time buyers of properties up to the value of £150,000. According to Right Move, the current average property price in Mansfield is £125,736.

The launch of the scheme in Mansfield means that Local Lend a Hand mortgages are now available for first-time buyers purchasing a property in every area of Nottinghamshire (excluding the City of Nottingham).

A similar scheme run in partnership between the council and Lloyds last year supported 80 first-time buyers to secure a property in Nottinghamshire, providing more than £1.5m in support for mortgages worth more than £7.6m. The council’s support averaged more than £19,000 per first-time buyer.

Coun David Kirkham, chairman of Finance and Property Committee at the council, said: “First-time buyers often say that raising a deposit is the biggest challenge they face when looking to take their first steps onto the property ladder, so I am delighted the council is working with Lloyds once again to provide Local Lend a Hand mortgages.

“We know from providing the scheme previously, what a huge help it to people saving to get onto the housing ladder for the first time. It’s good news for taxpayers too – not only is it a safe investment for the council, it will stimulate home ownership and benefit numerous businesses that rely on a thriving housing market.”

Marc Page, mortgages director at Lloyds Bank, said: “With the launch of Local Lend a Hand in Mansfield, we’re making the housing market more accessible to more people. Helping people to buy their first home is crucial in achieving and maintaining a sustainable housing market. Local Lend a Hand addresses some of the real problems that prospective buyers in Mansfield might face.”

Cecilie Booth, director of Treasury Solutions at Capita Asset Services, added: “We are delighted that Local Lend a Hand has been relaunched in Nottinghamshire, building on the success of the previous scheme. This is a great example of a successful partnership, providing mortgage support for local residents.”

Those interested in the local scheme should visit their local branch of Lloyds for more information including at Church Street, Mansfield, and Sherwood Street, Warsop.

Information about the scheme is at www.nottinghamshire.gov.uk/mortgages