In a property market that all too often overlooks those who don’t fit the mould, specialist mortgage lenders are continuing to reshape the landscape. Offering inclusive products, their flexibility and bespoke approach to underwriting mean the specialist lending industry can unlock homeownership opportunities for those who have been overlooked for too long.
Serving the needs of a broad range of individuals whose circumstances may include unusual, irregular, or multiple income streams, those navigating past credit challenges, or perhaps approaching the end of their employment careers, specialist lenders are well placed to adapt to the realities of modern income and lifestyle patterns in an increasingly diverse and dynamic housing market that reflects the diversity of the people it serves.
What does homeownership look like in 2025
As a market-leading specialist lender, Pepper Money values social inclusivity and always finds innovative ways to support customers who may have felt excluded by traditional financial providers and products.
According to our 2024 Specialist Lending Study, nearly seven in ten (69%) of those who didn’t own their own home aspire to in future, but for those with a history of adverse credit, almost half (45%) don’t think they will ever be in a position to own their own home¹. Yet our approach to inclusive mortgage lending comes with the understanding that financial diversity is not a weakness but a reflection of reality today.
Steps towards greater inclusivity
We’re committed to designing mortgage products that best serve those who have been otherwise overlooked by traditional high street lenders. With a broad product range, flexible criteria, and a holistic approach to underwriting, specialist lenders, like us, make mortgages more accessible to a broader and more diverse range of borrowers.
Summer 2025 has seen an incredible suite of product enhancements to make mortgages more accessible, giving more people the opportunity to own their own home.
Revised visa criteria
Expanding lending criteria to accept the income of UK working visa holders within mortgage affordability assessments marks a significant step towards greater diversity and inclusivity in the housing market. This move opens greater lending opportunities for applicants on eligible working visas, including skilled workers, health and care workers, family visa holders and Tier 1 entrepreneur visas, provided they have a right to reside in the UK, a minimum two-year UK employment history and three years of UK address history.
This change reflects our commitment to supporting international talent and ensures that hardworking individuals with established roots in the UK are not excluded from homeownership.
Smaller deposits, big housing dreams
The recent introduction of 90% loan-to-value (LTV) mortgages for customers within Pepper Money’s Pepper48 and Pepper36 tiers is designed to support borrowers who may struggle to save larger deposits. This product enhancement was introduced in direct response to rising property prices and ongoing affordability pressures, making homeownership more accessible to first-time buyers and those with more complex financial backgrounds.
Flexibility when it matters most
Pepper Money’s Pepper Flex proposition is a game-changer for mortgage inclusivity, offering tailored flexibility to borrowers who might otherwise be excluded by more rigid lending criteria found on the high street. By accepting applicants who’ve recently changed jobs, are in their probationary period, have missed a payment on unsecured credit within 6 months, or used a payday loan within the past year, Pepper Flex acknowledges the realities of modern living. It removes the need for brokers to navigate complex product codes or tiers, instead adjusting the completion fee to reflect individual circumstances; without compromising on competitive rates.
This streamlined, empathetic approach empowers more people to access homeownership, especially those navigating changes in circumstance.
Prioritising the role of the broker
At the heart of Pepper Money’s approach to inclusive mortgage lending is a deep commitment to empowering brokers. Offering transparent criteria, accessible tools, and dedicated support, we understand that brokers need high levels of both certainty and service to best serve customers with diverse personal and financial backgrounds.
Whether it’s through flexible underwriting, innovative products like Pepper Flex, or enhanced affordability assessments for visa holders, brokers are equipped with the resources they need to open doors for customers who might otherwise be excluded.
In a housing market that continues to evolve, specialist lenders like Pepper Money are not just responding to change – they are driving it. By embracing financial diversity, expanding access through inclusive criteria, and prioritising flexibility, they are helping to redefine what homeownership looks like in 2025 and beyond. As the needs of borrowers grow more complex, the role of specialist lenders and brokers becomes ever more vital in ensuring that no one is left behind on the path to owning a home.
