13/10/2025 Corporate Customers Innovation
- Home buyers will be able to purchase a new build property with only 5% deposit through new scheme.
- Offers a private sector replacement to government funded Help-to-Buy, which ended in 2023.
- TSB and Barclays are the first lenders to support the new scheme.
In a new initiative to make homeownership more accessible and affordable, leading housebuilders Barratt Redrow and Persimmon, alongside real estate asset manager QSix and Ahauz, an FCA regulated mortgage lender, have created the Rezide Equity Loan.
This innovative, second charge loan product will be supported by high street banks Barclays and TSB. The new initiative aims to support individuals and families who have struggled to step onto the new-build property ladder due to deposit constraints.
This groundbreaking product enables prospective buyers to buy a new build home with a significantly reduced upfront investment. Under the Rezide scheme, homebuyers will need to provide just a 5% equity deposit, while a Rezide Equity Loan will cover 15% of the property’s market value (up to a maximum loan amount of £100,000). The remaining 80% of the purchase price will be financed through a mortgage from Barclays or TSB.
This initiative represents a major step forward in addressing affordability challenges and helping more people achieve the goal of homeownership. The new equity product will initially be exclusively available to buyers of Barratt Redrow and Persimmon homes, with the scheme being rolled out across England.
The scheme has been designed to support both first-time buyers entering the property market, as well as those seeking to move into new build homes who might otherwise struggle to afford a property. Launched in the wake of the withdrawal of government support schemes like Help-to-Buy, this initiative highlights a collaborative and innovative approach within the new build housing sector.
Lee Chiswell, Head of Mortgages at Barclays UK, said: “Barclays has been focused on making home ownership more affordable for first-time buyers and movers, introducing various enhancements to our new build proposition in the last year, and we’re delighted to join this initiative and help yet more people get on the property ladder. We’ll be accepting applications for this unique proposition from day one and hope it helps make that dream home a reality for many.”
Craig Calder, Secured Lending Director at TSB, commented: “At TSB, we’re pleased to support this innovative new mortgage solution so we can help more customers make their money go further. Whether you're buying your first home or making a fresh start, this is a great new way to help open the door to property ownership and our specialist New Build team at TSB are on hand to support you.”
Adrian MacDiarmid, Head of Mortgages at Barratt Redrow, commented: “Affordability remains a big challenge for many people – not just first-time buyers but also growing families looking to trade up or people wanting a smaller home coming out of a relationship. Since Help to Buy ended many people have felt home ownership is beyond them. This is why we have worked across the industry to design a mortgage for people to buy a new build property with just a 5% deposit – helping make the home ownership dream a reality for them.”
Edward McCoy Group Sales Director at Persimmon commented: “Persimmon is always looking for new ways to improve customers’ opportunities to buy a home. We therefore welcome the launch of the new Rezide Equity Loan scheme, as it will add another useful product that enhances affordability. We look forward to welcoming many new homeowners through this innovative new product.”
Matthew Northover, QSix Chief Investment Officer commented: “The Rezide Equity Loan has been designed to replace the previous Help to Buy scheme and widen access to homeownership. By helping to lower affordability constraints for homebuyers, the new scheme will enable housebuilders to accelerate new developments and meet the new Government’s objectives for new homes.”
About the Rezide Equity Loan
Regulation & Availability Mortgage Characteristics
- FCA regulated − Non-amortising, 4% fixed interest for the entire term of the loan
- New homes sold by Barratt Redrow and Persimmon − No early repayment charges
- Available through regulated mortgage intermediaries − Fixed 15% of home value
Homebuyers will put down a 5% equity deposit and take out a Rezide Equity Loan equating to 15% of the home’s market value, (subject to a maximum of £100,000), with the remaining 80% of the purchase price borrowed from Barclays and TSB.
The repayment value of the Rezide Equity Loan will adjust up or down, in the same proportion as any changes in the underlying home’s value. The loan product is non-amortising and has a fixed interest rate of 4%, payable over the entire term of the loan.
Repayment of the equity loan becomes due upon sale of the property, or the maturity date of their first line mortgage. The loan can be repaid at any time, without the borrower incurring any early repayment charges.
The minimum income required to qualify for acquiring a new-build home using the loan is typically lower than that required to secure a 95% LTV mortgage equivalent, increasing the proportion of people able to afford a new build home.
How it works
- Barratt Redrow and Persimmon sales advisers will consult with prospective buyers as part of the property reservation process.
- The sales adviser will inform the customer about the suite of products available to assist customers in purchasing the selected property.
- If a customer is interested in the scheme, the sales adviser will refer them to a mortgage adviser for more detailed advice on the product and to help determine the product’s suitability for the customer.
- Ahauz, an FCA-regulated mortgage lender, will originate the Rezide Equity Loans.
- The mortgage adviser will conduct a thorough financial qualification process, with the customer providing documents for review.
- Both lenders will perform underwriting checks to ensure compliance with policy rules and affordability.
- If approved, mortgage offers are issued by both lenders, and the mortgage adviser will help the customer coordinate with solicitors for the next steps.
- The customer will then proceed to the completion stage of purchasing the selected home. The solicitor will handle all pre-completion and post-completion formalities.
The partners
Barclays
Our vision is to be the UK-centred leader in global finance. We are a diversified bank with comprehensive UK consumer, corporate and wealth and private banking franchises, a leading investment bank and a strong, specialist US consumer bank. Through these five divisions, we are working together for a better financial future for our customers, clients and communities.
Barratt Redrow
Barratt Redrow is the UK’s most recommended homebuilder, making sustainable living a reality and building strong communities. Across our leading brands – Barratt Homes, Barratt London, David Wilson Homes and Redrow – we offer high-quality, energy-efficient homes for every stage of life across England, Scotland and Wales.
About Persimmon
Persimmon is one of the UK’s leading 5 star housebuilders who operate from 29 regional offices, with our headquarters located in York. Our homes are attractively priced, with our private average selling price being around 20% lower than the UK national average for new build homes, widening the opportunity for home ownership to thousands of families and first-time buyers.
About QSix
Founded in 2006, QSix is a real estate asset manager focussed on the residential sector. It advised on the acquisition of, and now manages, the largest non-government-owned portfolio of equity loans in the UK, and as such identified the opportunity for a second charge equity loan product to fill the gap in the market left when the UK Government’s Help To Buy equity loans scheme ended. Using its experience and knowledge of the UK equity loan sector, it identified the opportunity to create the Rezide® equity loan and designed the associated financing structure, obtained funding for the product from a large institutional investor, and is working with a number of leading national housebuilders to pilot the product.
About TSB
TSB is a retail bank with a trusted customer brand, heritage stretching back to the start of the savings bank movement 200 years ago, and a committed workforce that offer full-service banking to more than five million customers. TSB operates on a modern banking platform and serves customers through digital channels, over the phone and in branches across the UK.
About Ahauz
The Rezide® Equity Loan will be originated by Ahauz Finance Limited; an FCA-regulated mortgage lender committed to continuing to broaden the availability of privately funded equity loans, helping more homebuyers secure the homes they aspire to own. With a tech-driven approach and a dedication to transparency and simplicity, Ahauz is focused on delivering innovative, customer-focused solutions tailored to the evolving needs of today’s homebuyers and housebuilders.