Overview
- Gen H’s product is live for buyers with a 5% deposit and a minimum household income of £50,000.
- Borrowers can allocate up to 80% of the loan as interest-only while the remainder repays capital, preserving 100% ownership.
- An illustrative case suggests a £400,000 purchase with a 5% deposit could trim payments by roughly £200 a month by making half the loan interest-only.
- Mortgage brokers welcome added flexibility but warn applicants must have realistic repayment strategies such as overpayments, future income growth or equity gains.
- Advisers also urge applicants to weigh total costs, including fees and early repayment charges, and to plan for remortgaging or downsizing if needed at term end.