Could a housebuilder incentive help cover your new-build deposit?
Saving for a deposit can be one of the biggest barriers to buying a home.
However, a mortgage option highlighted by our independent mortgage partners at New Homes Mortgage Helpline could make purchasing a new-build home possible for more buyers.
Through Perenna’s new-build mortgage offering, an eligible housebuilder incentive may be used towards the required 5% deposit.
Depending on the buyer’s circumstances and the incentive available, this could help reduce the amount they need to contribute towards their deposit from personal savings.
How could it work?
The mortgage requires a deposit equal to 5% of the home’s purchase price. Subject to the lender’s criteria, this may be funded through:
- The buyer’s own savings
- An eligible incentive provided by the housebuilder
- A combination of the two
An eligible housebuilder incentive may be accepted as part of the required 5% deposit, subject to the lender’s criteria and the incentive available on the chosen home.
It is important to understand that this remains a 95% loan-to-value mortgage and is not a deposit-free mortgage.
Who might it help?
This option could be worth exploring for buyers who can comfortably afford their mortgage repayments but have not yet saved a traditional deposit.
Perenna may also consider a wider range of circumstances, subject to its current lending criteria. Its mortgage options may include:
- Borrowing of up to six times income in eligible cases
- Deposits funded using an accepted personal loan
- Applications from eligible skilled workers holding a visa
Every application is assessed individually, and these features will not be suitable or available for everyone.
Independent mortgage advice from our trusted partners
Choosing a mortgage is a significant financial decision. That is why we work with New Homes Mortgage Helpline, whose independent mortgage advisers can review your circumstances, explain the available options and help you understand whether this type of mortgage may be suitable for you.
Their advisers have specialist knowledge of new-build purchases and access to products from a wide range of lenders. Your initial financial qualification is provided at no cost and without obligation.
Could this make your move easier?
This mortgage option could provide another route into a new Verity & Co Homes property, but availability will depend on the home, development, incentive and individual mortgage application.
Speak with our Sales Advisor to learn which homes currently include eligible incentives and to be introduced to New Homes Mortgage Helpline for independent advice.
