All about the Own New Scheme

Looking to buy a new build but struggling with a large deposit? The Own New scheme could be the solution you need.

For many hopeful homeowners, saving for a substantial deposit can make homeownership feel out of reach. While the 95% mortgage scheme supports existing homes, it often doesn’t extend to new builds, which typically require a larger deposit. The Own New scheme bridges this gap by partnering with lenders and developers to offer low-deposit mortgages with competitive rates for new build properties. Let’s explore how this works and how it could benefit you.

Who can benefit from the Own New Scheme?

The scheme is available to both first-time buyers and previous homeowners, whether you’re looking at high-value properties or more affordable apartments. It opens doors to a wider range of buyers, making it easier for many to own a newly built home.

How does the Own New Scheme work?

With the Own New scheme, you arrange your mortgage directly through a participating lender. The lender will assess your financial situation to ensure you can make the mortgage payments. If approved, you’ll only need a 5% deposit to move forward, and you’ll own 100% of your new home.

Behind the scenes, Own New reduces the financial risk for lenders, which allows them to offer lower-deposit mortgages for newly built homes. This is important because new builds tend to lose value as they age, making them a higher risk for traditional lenders.

What are the costs of Own New?

Good news for buyers—there are no extra costs to use the Own New scheme. Instead, the home builder covers a small fee once the sale is completed, so you won’t need to worry about additional expenses on top of your mortgage and deposit.

The benefits of the Own New Scheme

One of the biggest advantages of the Own New scheme is that it speeds up your path to homeownership. Instead of spending years saving for a large deposit, you can buy your dream home sooner with just 5%. This scheme also benefits self-employed individuals and those looking to build or improve their credit rating, offering more flexibility than traditional mortgage options.

For existing homeowners with limited equity, Own New can be a game-changer. If you’re looking to upgrade to a new property, this scheme helps you make that move quicker, giving you access to more opportunities and better homes.

How to sign up

The Own New scheme has already gained support from over 50 market-leading builders. Many mortgage advisers are now familiar with the scheme and can provide expert advice to help you take advantage of it.

If your preferred builder is participating in the Own New scheme, it’s worth speaking with a mortgage adviser with experience in new builds to secure the best mortgage for your situation.

At The Residential Mortgage Hub, we have access to specialist advisers who are ready to help you make your homeownership dreams a reality. Contact us today to discuss how the Own New scheme can help you buy your ideal new build home.