Just Mortgages has launched a semi-exclusive joint borrower sole proprietor (JBSP) mortgage in partnership with April Mortgages.
Available exclusively through Just Mortgages and a small number of selected intermediary firms as part of an initial pilot, the product is designed to help more buyers onto the property ladder by combining up to 100% LTV lending with enhanced affordability options.
JBSP+ allows up to four applicants, with as many as three supporters contributing their income towards affordability while ownership of the property remains with the buyer. Supporters can also live in a separate household, giving families, partners and friends greater flexibility to help buyers who may otherwise struggle to secure a mortgage on their own.
The product offers up to 100% LTV on 10 and 15-year fixed rate mortgages. Borrowers also benefit from the flexibility built into April Mortgages' products, including no early repayment charges when moving home or repaying from their own funds, automatic rate reductions as loan-to-value improves, and unlimited overpayments.
John Doughty, chapter managing director at Just Mortgages, said: "Affordability remains one of the biggest challenges facing prospective homeowners, particularly first-time buyers. While there is no single solution, products like this can make a real difference, giving buyers flexibility in how they demonstrate affordability and secure a mortgage.
"Working with April Mortgages to bring this product to market strengthens the support our advisers can offer and provides another route into homeownership for buyers who may otherwise have struggled to take that first step."
Mark Eaton, chief operating officer at April Mortgages, commented: "JBSP has become a crucial solution for buyers who have the income for a mortgage but need support to meet affordability requirements. By extending the proposition to allow up to four applicants and three supporters, we are creating more opportunities for buyers to access homeownership without changing who owns the property.
"We're delighted to be working with Just Mortgages to launch this proposition and provide its advisers with another option to support clients in a challenging market."
Michael Brown, head of business development at April Mortgages, added: "This product combines flexibility with simplicity. Buyers can benefit from additional affordability support while retaining sole ownership of the property, and supporters are not added to the deeds. Together with the wider flexibility available across April Mortgages' range, it gives advisers another valuable solution for clients whose circumstances fall outside more traditional lending criteria."
