New financial services company Castle Trust has launched Partnership Mortgage, which it claims will revolutionise the UK retail mortgage market.
Its partnership mortgages are for 20 per cent of the value of an owner occupied home alongside a repayment mortgage of up to 60 per cent from a traditional lender and a deposit of at least 20 per cent.
Castle Trust claims that there are no monthly commitments on the Partnership Mortgage and Castle Trust will share 40 per cent of any profit made by the homeowner when they sell or at the end of the mortgage term.
The company will also share 20 per cent of any loss made if the home was bought with a partnership mortgage.
Castle Trust chief executive Sean Oldfield said: “It is well documented that many people, despite having good credit histories and sizeable deposits or equity in their homes, are finding it difficult to secure mortgages.
“This is a result of lenders’ desire to preserve capital. The Partnership Mortgage helps lenders overcome this issue so many more good quality customers can secure the mortgage they want. We are equally excited about our HouSA and the unique opportunities this offers investors to gain exposure to the national housing market directly or through an ISA or a SIPP.”
