The Proportunity business was unveiled at the annual UK Finance mortgage dinner last night by CEO and co-founder Vadim Toader.
Speaking at the dinner, Toader explained the business was originally set up as a technology-based platform to predict property prices and help investors manage their portfolios.
However, he said the firm wanted to use this intelligence to help support buyers who could not raise the deposit required.
“And to prove this, we’re putting our money where our mouth is and will help support deposits up to 20%,” he said.
Toader added that there would be virtually no risk to the lenders who worked with the business.
Cheaper than 95% mortgage
On its Facebook page, it claims the service will cost less than a 95% loan to value mortgage.
“Proportunity helps you buy your first home without having to save for 10 years. Similar to Help 2 Buy, we lend to increase your deposit for the home you want,” it said.
According to start-up tracking website Angel List, Proportunity was co-founded by Oxford University graduate Toader and Stefan Adrian Boronea. Boronea is now chief technology officer at the firm.
In August it announced it had raised £1.7m of seed funding in its first round.
Mortgage Solutions has contacted Proportunity for response.
