That is why we’re thrilled to unveil Deposit Unlock. This is a ground breaking scheme that brings your dream of owning a new build home within reach. 

Here’s what Perenna Deposit Unlock offers: 

• No more daunting deposit needs. With just a 5% deposit, you can buy your new build home. 
• Flexibility in funding your deposit. Whether it’s your savings, developer incentives, or a mix, we make the journey to owning a home much easier. 
• First-time buyer or moving home? Deposit Unlock can help open that new build door.  

Are you ready to take the first step to your dream home? Our mortgages are available through brokers only. We can help you find a broker to provide advice on your mortgage needs. Plus, they’ll know all about our range, so can answer any questions you may have.  

Find out more about Deposit Unlock and take that first step towards your dream home!  

How much can you borrow?  

To help you understand how a Deposit Unlock mortgage works, here is an example. 

If you buy a house for £200,000, with a 5% deposit of £10,000, you would need a repayment mortgage of £190,000. 

If you repay this mortgage over 40 years on a fixed interest rate of 6.49% this would require 479 payments of £1,111.01, plus 1 payment of £1,121.08.  

The total amount payable is £533,534.87 made up of the loan amount plus interest of £343,584.87 and a funds transfer fee of £15.00. The overall cost for comparison is 6.7% APRC representative.¹

Want to find out if Perenna could help you? Why not use our calculator to find out how much you could borrow? It’s completely confidential, does not affect your credit score and should only take a few minutes.

You could lose your home if you don’t keep up your mortgage repayments.

¹ Based on a Mortgage Illustration which was produced on 16 April 2024. The information remains valid until 16 April 2024. After that date, it may change in line with market conditions 

We want to make it easier to buy a new build home.  

That’s why we’ve launched our Own New Rate Reducer Mortgage.  

What is Own New?

Own New is an initiative that helps create lower rate mortgages for new build homes. Funded by housebuilders who pay a small fee on completion of the sale, there is no cost to you as the buyer. This means you get a normal mortgage and own 100% of your home. 

Who benefits? 

Whether you’re looking to get your foot on the property ladder for the first time, or thinking about buying your next home, Own New could help make that happen. It is available across regions, with many builders participating.  

Perenna Own New perks… 

No teaser rates here! With the Perenna Own New Rate Reducer mortgage, you can enjoy a fixed, lower rate for the entire mortgage term. 

Plus, you will receive all the usual benefits of a Perenna mortgage like increased borrowing power, monthly payments that don’t change, short early repayment charge and no maximum age caps! 

How to secure your Own New mortgage 

Securing your Own New mortgage is straightforward. If the developer of your new build home offers ‘Own New’, they will be able to put you in touch with an approved Own New broker. The broker can talk to you about mortgage options available to you, including a Perenna Own New Rate Reducer mortgage. Check out Own New to find out more.  

How much can you borrow? 

Want to find out if Perenna could help you? Why not use our calculator to find out how much you could borrow? It’s completely confidential, does not affect your credit score and should only take a few minutes. 

You could lose your home if you don’t keep up your mortgage repayments.

You could lose your home if you don’t keep up your mortgage repayments. 

Owning a home in your later years can bring security. However, as retirement approaches, it can get tricky. Often, mortgage options are limited. Many high street lenders are now unwilling to allow a mortgage to extend beyond normal retirement date. Even though many people now plan to work to age 70 and beyond or will have regular reliable pension income.

But there are products out there to help.  

Here at Perenna, age is just a number. That’s why we don’t apply age limits to our products. Instead, we assess mortgage applications on property value and whether the monthly payments are affordable (maximum loan to value limits may apply).  

And for those borrowers looking to keep their monthly payments down, we can offer interest-only options. Let’s explore… 

Interest-only options allow people to borrow against their home but only pay back the interest each month. The original amount borrowed is still due at the end of the agreed term. For those people looking for an option in later life, there’s retirement interest-only (RIO) products too.

What’s the difference between a RIO and regular interest-only mortgage?  

The truth is, they can seem similar. That’s because, for both, you only need to repay the interest each month. However, with a standard interest-only product, you will need to show how you’ll pay off the loan at the end of the mortgage term. This could be through savings or selling your home for example.

With a RIO product, you don’t need to repay your loan until you, or if it’s a joint mortgage, the last remaining one of you dies or decides to live elsewhere long term. For example, if you move into a residential home.

For a Perenna RIO mortgage, the other key difference is that they are only available to borrowers over the age of 50.

Why choose a later life mortgage? 

There are many reasons people may want a mortgage into retirement. It could be to support their lifestyle or to pay for home improvements. It could lower monthly payments. Or for some, it may allow them to stay in the home they love.  

Looking at a RIO option can help with all of these things. It can also lower those monthly repayments. And this can help to remove that worry and focus on enjoying life.  

How can Perenna help? 

We want to help homeowners make the most of their retirement. That’s why we’re proud to provide options to those who are looking for mortgages whilst they’re enjoying their golden years.  

A Perenna RIO mortgage is available to borrowers over the age of 50, up to 60% loan to value. 

Want to find out more?  

Our mortgages are currently available through mortgage brokers only. So, if you’d like some mortgage advice, that’s no problem. We can help find someone near you. They’ll provide tailored advice based on your mortgage needs. Plus, they’ll know all about our mortgages, so can answer any questions you may have. 

Find a broker 

You could lose your home if you don’t keep up your mortgage repayments.

As retirement approaches, homeowners in the UK may find themselves in a tricky situation if they want access to a mortgage. Often the options on offer are limited.   

You may have even read stories about people who aren’t able to shop around or get a mortgage at all, simply due to their age.  At Perenna, we don’t think that’s right. We want to give people more options. So, we’re starting a mortgage revolution. Here’s how… 

Age is just a number 

We want to help homeowners make the most of their retirement. And for us, age is just a number. That’s why we don’t apply maximum age limits. Instead, we assess mortgage applications on property value and whether the monthly payments are affordable (maximum loan to value limits may apply). This could make a huge difference for borrowers who are looking for options in later life.  

Unlock the equity in your home 

Free up money to enjoy a financially responsible retirement while staying in the home you love. 

With a Perenna mortgage, you can use your home’s value to gain financial freedom and shape your dream retirement. 

Taking back your borrowing power 

Forget traditional restrictions; our approach lets you secure a mortgage that can suit your needs, no matter your age! 

Predictable payments 

With Perenna, you will never have to worry about your payments going up. 

If you want to know what you’ll pay each month, long-term fixed rate mortgages could be a great option. We allow you to fix your rate for up to 40 years, meaning you can plan your future with confidence and financial peace of mind. 

Why not use our mortgage calculator to get an idea of how much we could lend to you?  

Flexibility as standard 

We get it. Fixing your rate for up to 40 years is a long time. You don’t know how your life will look in that time. And that’s why we’ve made sure our mortgage product comes with flexibility as standard. 

We want to make sure our mortgage can fit around your life. If you decide to move home, you can take your mortgage with you, no problem. And if rates come down and you’d like to change your deal, or make unlimited overpayments, that’s absolutely fine. You can do so without charge after five years. 

Why Perenna?  

• No age limits, more options in later life 
• Monthly payments that don’t change 
• Short early repayment charge for flexibility 

At Perenna, our goal is to help you lead a secure and fulfilling life in your golden years. 

Join the Mortgage Revolution for predictable payments,  flexibility, and a commitment to your financial well-being. 

Your home is more than a place; it could be the foundation for an independent later life. Take charge of your homeownership journey and step into a future where every day truly belongs to you. 

You could lose your home if you don’t keep up your mortgage repayments.

Through our long-term fixed rates, we are turning the mortgage world upside down. Here’s how… 

Maximising borrowing power 

If you’re a first-time buyer struggling with mortgage affordability, Perenna could have the solution to open the doors to your home buying dreams.  

We know the question of ‘how much can I borrow?’ can be a top priority. So, we’ve designed a product to help. With our mortgages, you can borrow up to six times your income, subject to criteria. This could act as a huge boost for those struggling to get onto the property ladder. Plus, as our rates are fixed for up to 40 years, we can help lower monthly payments.  

You can find out more in our blog here.

You may wonder how some people could borrow more with Perenna. The answer is simple. The amount you can borrow isn’t usually based on the headline rate. For short-term fixed rate products, it’s actually the rate you are charged after the fixed rate period ends that is important in working this out. You’ll often see this referred to as ‘standard variable rate’ or SVR.  

At Perenna, the rate is fixed for the whole term. The product does not revert to SVR. This means we don’t need to stress-test monthly payments. We know exactly what you’ll need to pay each month. And because we have this certainty, we may be able to lend more.  

Explore our previous blog for a deeper understanding of the impact of SVR on affordability.

Providing certainty  

Taking out a mortgage is probably the biggest financial commitment of someone’s life. Fixing your rate helps to provide certainty. With our longer-term fixed rates, the monthly payment is fixed for the full mortgage term.  This gives payment certainty and peace of mind. Plus, there’s no need to remortgage every few years. And no need to panic about rising interest rates. Borrowers can leave the worry behind and focus on living their lives. Exactly as it should be!  

Flexibility as standard 

We get it. Enjoying predictable payments sounds great. And not having to worry about remortgaging ever again is hugely attractive. But… fixing your rate for up to 40 years is a long time. How are you supposed to know what your life will look in that time? Don’t worry, you don’t need to. We understand that people want the protection of payments that won’t change. But they don’t want to feel trapped.  And that’s why we’ve made sure our mortgage product comes with flexibility as standard. 

We want to make sure our mortgage can fit around your life. If you decide to move home, you can take your mortgage with you, no problem. And if rates come down and you’d like to change your deal, or make unlimited overpayments, that’s absolutely fine. You can do so without charge after five years. 

Why Perenna? 

• Borrow up to 6 times your income, subject to criteria 
• Monthly payments that don’t change 
• Short early repayment charge to give you flexibility 
• No maximum age caps, giving you more options in later life 

Curious about how much you could borrow? Try our mortgage calculator:

Mortgage Calculator | Perenna  

Join the Mortgage Revolution 

At Perenna, we’re on a mission to break down barriers, and make homeownership accessible.  

Whether empowering first-time buyers with increased affordability or providing payment certainty with our fixed-rate terms, we’re committed to revolutionising the mortgage landscape.  

Explore the power of our revolutionary mortgage here:

Join the Mortgage Revolution | Perenna  

You could lose your home if you don’t keep up your mortgage repayments. 

Perenna is thrilled to announce that we have been crowned the Banking Innovation Newcomer in the Finder’s Banking Innovation Awards 2023. 

We are committed to pushing the boundaries of innovation in banking, and this award confirms our dedication to transforming the mortgage industry. 

As we work hard to build a nation of happy homeowners, we are delighted to share this exciting news.

Thank you for your continued support and for helping us lead the way in innovation in finance. 

Embracing longer terms 

Taking the first step on to the property ladder can often be hard for first-time buyers. Many people now choose mortgages lasting 35 years or more. This change shows the need for new solutions to make home buying easier, especially for those starting on the property ladder. 

Financial impact explained 

When you extend the time to repay your mortgage, you can pay less each month. This is shown below. If you borrow £200,000 with an interest rate of 5.5%: 

[source – https://www.landc.co.uk/calculators/how-much-will-my-mortgage-cost/] 

 This means if you choose a 40-year term instead of a 25-year term you pay £196 less every month. Or £2,352 less each year.  

But, it’s important to know that the total interest you pay increases by £126,687. 

Borrowing potential 

Extending your mortgage period may cut monthly payments, but it doesn’t automatically boost how much you can borrow. If your fixed rate is set for a short amount of time, lenders aren’t sure of the rate you’ll be paying in the future. So, they need to stress test to work out how much customers can afford to borrow. You can learn more about this here. 

Our approach 

Our mortgage is unique. It fixes your interest rate for the full term. This means you’ll never have to worry about rates rising. Plus, our mortgage can fit around your life. You can take your mortgage with you when you move home. And after five years, if you’d like to change your mortgage deal – no problem. You can move to another lender or product without charge.  

Could you borrow more with Perenna? 

We will also lend up to six times a borrowers’ income, subject to criteria. This could help many first-time buyers who struggle with affordability. 

So why not use our calculator to find out how much you may be able to borrow? It’s completely confidential, does not affect your credit score and should only take a few minutes. 

You could lose your home if you don’t keep up your mortgage repayments.

We have launched the “highest affordability” ¹ mortgage in the market to first-time buyers.

We’ve officially opened up our flexible long-term fixed rate product to new purchase customers and first-time buyers, within our pilot to selected borrowers.

We will lend up to 95% LTV, with fixed-rate terms up to 40 years, helping borrowers lower their monthly payment amount. We will also lend up to six times a borrowers’ income, subject to criteria, which could act as a significant lending boost for many first-time buyers who consistently struggle with affordability.  

A longer fixed rate term allows many borrowers a higher affordability boost compared to those on a short-term fixed rate mortgage. This is because of the way current mortgage products are designed which place all the market risk on borrowers. Once this is removed, through fixing the rate for the entire term, first time buyers could borrow more. This is the innovation we offer. 

For example, on a £60k joint income, a first-time buyer could borrow up to £355k with us, which is about £70k more than the closest high street lender.2

This could make a massive difference for first time buyers. As a result, borrowers looking to maximise their borrowing responsibly should consider a longer-term fix compared to a shorter-term fix like a 2 year or 5-year fixed rate mortgage.  

 The product also only carries declining early repayment charges (ERCs) for the first five years, making it highly flexible. This gives borrowers certainty that their payments will never increase, as well as allowing them to change when the time is right for them. 

Colin Bell, COO & Co-Founder of Perenna comments:  

“We’re really excited to open up the Perenna Mortgage to first time buyers and new purchase customers. First time buyers are constantly struggling to get onto the housing ladder due to affordability issues – whether that’s saving up enough for a small deposit or being able to borrow enough to afford a home they really want. The Perenna Mortgage is the complete mortgage product – increased affordability combined with long-term stability and flexibility.” 

Arjan Verbeek, CEO & Co-Founder of Perenna comments: 

“We believe in unlocking the power of homeownership without having to sacrifice the amount you can borrow – borrowers should be able to have both their cake and eat it. As we remove market risk from borrowers, customers can borrow what they actually can afford, which in some cases can be on average up to 30% higher than the high street lenders.3 With our full unrestricted UK banking license and recent funding round, we are ready to deliver the much-needed changes in the UK mortgage market, and start delivering better outcomes for homeowners across the country.” 

How much can you borrow?

Want to find out if Perenna could help you? Why not use our calculator to find out how much you could borrow? It’s completely confidential, does not affect your credit score and should only take a few minutes. If you’re eligible to apply, the quote will also let you know how to access a Perenna mortgage.

You could lose your home if you don’t keep up your mortgage repayments.

Notes:

• Footnote 1 – “Highest affordability” defined as highest borrowing amount by use of intermediary mortgage affordability calculators across leading high street lenders2, as at 13 November 2023 
• Footnote 2 – “Leading high street lenders” defined as those who control 75% of the market by gross lending during 2022 – MM10, UK Finance (as at 13 July 2023) 
• Footnote 2 – “Leading high street lenders” defined as – HSBC, Natwest, Nationwide, Santander, Virgin Money, Lloyds Banking Group, Barclays 
• Footnote 3 – Data chart, see below, as at 13 November 2023:

All information correct at time of publication

Getting your foot on the property ladder is a huge milestone in most people’s lives. It’s an exciting time but can be equally as daunting.

Firstly, there’s the thrill of finding your first home. And then there’s the realisation that you’re probably making the biggest commitment of your life.

So, how do you know that you’re making the right decision? Of course, that depends on what matters to you and your own situation. But, here at Perenna, we think we have the perfect combination for First Time Buyers. Stability with flexibility.

The search for stability

When thinking about buying your first home, stability is important. Whether you’re thinking about money, home location or simply how this could affect your future, having a stable outlook can be very reassuring.

That’s where we come in.

We think people are happiest when they aren’t worrying about money. That means less focus on rising interest rates and high energy bills. And more focus on enjoying your home and living your life.  That’s why we offer long-term fixed rate mortgages. By fixing your rate for the full mortgage term, you’ll know exactly what you must pay each month. No teaser rates, no rising payments, no shocks.

Flexibility as standard

Plus, our mortgages are designed to fit around your life. That’s why you can:

• Take your mortgage with you when you move home
• Change your mortgage to another lender or product without charge, after 5 years

How much can you borrow?

Want to find out if Perenna could help you? Why not use our calculator to find out how much you could borrow? It’s completely confidential, does not affect your credit score and should only take a few minutes.

You could lose your home if you don’t keep up your mortgage repayments.

Will your age stop you from getting a mortgage? 

Growing older is part of life.  And often, with age, financial security becomes more important than ever.  

For many of us, owning a home is a huge part of that security. And for most people, that means getting a mortgage.  

However, as retirement approaches, homeowners in the UK may find themselves in a tricky situation if they want access to a mortgage. Often the options on offer to them are limited.  

You may have read stories about people who aren’t able to shop around or get a mortgage at all, simply due to their age.  Retirement should be a time to relax and enjoy life away from the pressures of the daily grind. And yet, many may find themselves worrying about their home. 

So why is this?  

Many lenders have an end of term age limit which restricts mortgage options. Look at the example below to see how. 

Borrower 

Age at time of applying: 65 years 

Mortgage term requested: 20 years  

Age at end of term: 85 years 

Many high street lenders will not offer the term asked for.  That’s because they typically have a maximum age of 75-80 years at the end of term¹.

So why can having a mortgage in later life be important?

There are many reasons why people want a mortgage into retirement. It could be to support their lifestyle or to pay for home improvements. Or for some, it’s simply to allow them to stay in the home they love.  

Here are a few examples to bring this to life.

Example 1 

Ann wants to extend her mortgage term so she can reduce her monthly mortgage payments.  

Ann is 65 and has 10 years left on her mortgage. She has a pension income of £25k. She is currently on a standard variable rate of 7.99%.    

Her priority is to have more disposable income. She does not want to have to cut down on things at this stage in her life.   

Example 2 

John and Beth want to pay down their debt as soon as possible. 

John, 54, and Beth, 52 are on an interest only mortgage, with no repayment plan. Their joint income is £80k.    

They don’t want to downsize as they love their property and location. They are looking at a capital & interest repayment product. They would like to keep their monthly payments low. 

Example 3 

Melanie has recently separated from her partner and needs a mortgage that helps her meet affordability requirements. 

Melanie is 56. She is a nurse with an income of £45k.  

Her priority is to remove her partner from the mortgage and avoid having to sell the family home and downsize.   

As the mortgage will rely on her income alone, affordability as well as end of term age limits are stumbling blocks for her.  

How can Perenna help? 

Here at Perenna, we want to help homeowners make the most of their retirement. And for us, age is just a number. That’s why we’ve removed age limits. Instead, we assess mortgage applications on property value and whether the monthly payments are affordable (maximum loan to value limits may apply). This could make a huge difference for each of the examples above. It could be the difference between the borrower achieving their goals and not.  

Want to find out if Perenna could help you? Why not use our calculator to find out how much you could borrow? It’s completely confidential, does not affect your credit score and should only take a few minutes. 

You could lose your home if you don’t keep up your mortgage repayments.

¹Maximum age at the end of the mortgage term (Repayment mortgage examples)  

Nationwide – 75 years old – https://www.nationwide-intermediary.co.uk/lending-criteria/general#max
Halifax – 80 years old https://www.halifax-intermediaries.co.uk/criteria.html;
HSBC – 80 years old https://intermediaries.hsbc.co.uk/criteria   

Information correct as at 16 October 2023