The product will assess the affordability of those who have seen their earnings fall by up to a quarter based on the average of the last two years of income. A minimum of three years’ trading history will be required.
The product is available up to 85 per cent loan to value (LTV) with rates starting at 3.28 per cent for a five-year fixed at 75 per cent LTV and a £1,999 fee.
Rates for Kensington’s shared ownership range start from 4.14 per cent on a two-year fixed mortgage and 4.54 for the five-year fixed equivalent.
The maximum loan size is £500,000 which will cover up to 95 per cent of the borrower’s share in the property.
It has no product fees and offers free valuations.
The shared ownership deal will be available on both new build and secondhand properties. Gifted deposits will also be considered.
Craig McKinlay (pictured), new business director at Kensington Mortgages, said: “Over the last year, many self-employed borrowers have found themselves demoralised from applying for a mortgage, either through past rejections or bearing the financial brunt of the pandemic.
“However, we’re not closing our doors on the self-employed. We’re keeping them wide open. Kensington will lend a hand to some of those hit hardest by the pandemic through the range.”
He added: “The shared ownership range will also help those who want their own space to own it. At a time when many have struggled, both products will help make homeownership a reality for those who may otherwise have felt it was out of reach after the pandemic.”