Own New and new mortgage lender Gable Mortgages, a trading name of Gemini Consultants Limited, have announced a new no-deposit mortgage proposition designed to help eligible buyers access home ownership without the need for a mortgage deposit.
Initially available exclusively on selected Barratt Redrow developments, the launch of no deposit marks the first step in Own New’s expansion into tackling deposit affordability alongside monthly mortgage affordability.
Own New has partnered with Gable Mortgages, a new lender focused on helping customers who can afford mortgage repayments but struggle to save for a deposit, to bring the no deposit mortgage proposition to the new-build market. Available initially on eligible Barratt Redrow properties in England and Wales, the five-year fixed-rate product, through participating mortgage intermediaries, offers qualifying buyers a route into home ownership without providing a mortgage deposit, subject to affordability and lending criteria.
The launch is the first public step in Own New’s broader strategy to address two of the biggest barriers to purchasing a home: the cost of monthly mortgage repayments and the challenge of raising a deposit. It also marks Gable Mortgages’ entry into the new-build sector through Own New’s housebuilder platform, creating a new lending option for customers where the challenge of saving for a traditional deposit has been a barrier to entering the property market.
For many aspiring homeowners, saving for a deposit remains one of the most significant obstacles to getting onto the property ladder. While many renters can demonstrate a track record of meeting housing costs through monthly rent payments, building up the substantial deposit needed for a conventional mortgage can prove challenging amid wider cost-of-living pressures.
The issue can be particularly significant for first-time buyers and key workers, many of whom may have the income necessary to sustain mortgage repayments but struggle to save while continuing to meet increasing rental and everyday living costs.
The launch reflects a growing focus across the housing and mortgage sectors on widening access to home ownership and creating solutions that address both monthly affordability and the upfront costs associated with purchasing a home.
The new no deposit mortgage proposition is available now on eligible new-build Barratt Redrow properties in England and Wales priced between £125,000 and £1 million.
Key product features include:
- No mortgage deposit required from the customer
- Five-year fixed-rate mortgage at 6.40% (current rate)
- Available on mortgage terms from five to 35 years
- Capital-and-interest repayment basis
The product is aimed at customers who can demonstrate a sustainable income but have been unable to save for a traditional deposit, subject to meeting Gable Mortgages’ affordability and lending criteria. Current eligibility criteria include a minimum age of 21, a minimum income of £27,780, or £25,000 for qualifying key workers and a clear recent credit profile. Enhanced income multiples are available for eligible key workers across a range of public and essential services professions.
The launch brings together two organisations seeking to address affordability challenges from different angles.
Since its launch, Own New has focused on helping housebuilders and homebuyers access innovative mortgage products that improve affordability. Through initiatives such as Rate Reducer and Flex, the business has helped reduce monthly mortgage costs for eligible buyers.
Commenting on the launch, Eliot Darcy, Founder and CEO at Own New, said: “For years, much of the conversation around housing affordability has focused on monthly mortgage payments. While that remains critically important, we know there are many people who can comfortably demonstrate the ability to make those payments but remain locked out of home ownership because they cannot raise a deposit.
“This partnership with Gable Mortgages represents an important evolution of Own New’s proposition. By helping address both monthly affordability and deposit affordability, we’re expanding the ways we can support housebuilders and, most importantly, help more customers access a new home.”
Gable Mortgages purpose is simple: helping people move from generation rent to generation able. Meeting the needs of prospective customers who have the income and financial discipline required to sustain home ownership, but who have struggled to build up a deposit while managing the costs of renting and everyday life.
Chris Eaton, co-CEO of Gable Group, added: “Working with Own New has allowed us to bring our no-deposit proposition into the new-build sector through a trusted platform with strong housebuilder relationships. Together, we’re creating a responsible new route into home ownership for people who may previously have believed it was beyond their reach.”
Steve Mariner, Sales and Marketing Director at Barratt Redrow, commented: “We’re pleased to be the first housebuilder to make this new proposition available to eligible buyers through Own New and Gable Mortgages.
“Providing customers with greater choice and helping them overcome barriers to purchasing a home is an important part of our commitment to supporting home ownership. We believe this innovative proposition has the potential to help buyers who can afford monthly mortgage repayments but have previously struggled to save for a deposit. We’re proud to support the launch and look forward to seeing the positive impact it can have for customers.”
Own New and Gable Mortgages’ no deposit mortgage proposition is currently available exclusively through eligible Barratt Redrow developments.
Own New intends to make the proposition available more widely across its housebuilder network in the coming months.