The high street bank HSBC has launched a new mortgage product aimed at first time buyers. HSBC is hoping to tap into the growing concern about the financial barriers to getting a foot on the property ladder.

The bank is offering first time buyers the option to go interest only for the first three years of a new mortgage to enable them to cover their moving costs. “HSBC has launched the first time buyer package, supported by a low-cost range of fixed rates,” Sian Lehrter, head of mortgages at HSBC said. “The idea is to get reduced monthly payments when it’s most important but without the longer term risks of an interest-only mortgage.”HSBC claims that moving house costs an average of more than £5,000.