"Saving for a deposit remains one of the biggest barriers to home ownership, even for those with strong incomes and a solid credit profile"
- James Pagan - April Mortgages
April Mortgages has introduced a 100% loan-to-value (LTV) mortgage product aimed at first-time buyers who are unable to rely on family assistance or save for a deposit.
The No Deposit Mortgage is available with fixed-rate terms of 10 or 15 years and targets creditworthy applicants with stable incomes who face challenges saving while paying rent. According to the lender, the product responds to current market conditions, including high property prices, increasing rents, and reduced purchasing power, all of which have made homeownership more difficult for many.
Interest rates begin at 5.99%. As borrowers reduce their loan-to-value ratio, they are eligible for automatic rate cuts over time.
The lender has launched the new product as a response to structural changes in the housing market and the growing number of renters who are otherwise mortgage-ready but remain locked out of ownership due to deposit constraints.
“Saving for a deposit remains one of the biggest barriers to home ownership, even for those with strong incomes and a solid credit profile," said director of product at April Mortgages, James Pagan. "We believe the answer lies not in loosening standards but in designing products that better reflect the realities of today’s housing market.”
The new product includes no early repayment charges if a borrower repays the mortgage from personal funds or moves home. Borrowers can also make unlimited overpayments without penalty. Loan amounts of up to 4.49 times income are available, subject to full affordability and credit assessments.
“The housing market has shifted dramatically. Wage growth struggles to compete with rising house prices, and owning a home has become harder to achieve, even for those with steady incomes," comments April Mortgages director of mortgage distribution Rachael Hunnisett. "At April, we’re committed to making mortgages simpler, more flexible, and better suited to the way people live today.”
