Gen H has introduced higher loan-to-value (LTV) lending for new build properties, in a move aimed at unlocking homeownership for buyers held back by deposit constraints.
The change is expected to particularly benefit customers with complex income profiles or those requiring longer mortgage terms, who may otherwise sit at the margins of Gen H’s most flexible lending criteria.
The announcement builds on Gen H’s broader support for new build buyers, including its recently launched New Build Boost mortgage scheme in partnership with Persimmon Homes. The scheme is designed to address affordability and deposit hurdles, helping more buyers secure newly built homes.
Gen H confirmed that customers can combine the updated LTV criteria with its other proposition features, such as income booster – a product designed to increase borrowing capacity with support from family or others.
Pete Dockar, chief commercial officer at Gen H, said: “New build lending has always been a bit of a paradox. We need new build homes to ease the housing crisis, but lenders tend to apply extra scrutiny and limits to this type of lending, which means comparatively fewer aspiring homeowners can actually access the lending they need to buy one.
“Making it easier for new build buyers to get the mortgage they need stimulates demand which in turn creates more supply – this will have a positive impact on the entire housing market. Most critically, it will get keys in the hands of real people.”
