The Even loan works along similar lines to the Help to Buy scheme, but is open for those looking to buy a pre-existing, rather than new build, property. It offers equity loans of up to double the value of a first-time buyer’s deposit, up to a maximum of £100,000.
Instead of charging interest in a traditional way, Even then takes a share in the profit made on the property when the borrower pays the loan back. If the property has fallen in value, then so too does the amount the borrower has to repay.
Kensington is the first lender to partner with Even, which launched last year and is the brainchild of Nested co-founders Matt Robinson and James Turford. It has already joined the Intermediary Mortgage Lenders Association (IMLA) as an associate member.
Turford, COO of Even, said the launch would open up the potential of home ownership to a whole generation of would-be buyers, allowing them to get onto the property ladder sooner.
He continued: “What has especially impressed us about Kensington was not only their amazing track record as specialist lender of the year, but also the way in which they embrace innovation, and moved quickly to follow through on the promise of helping those who would otherwise have no option to buy.”
Craig McKinlay, new business development director at Kensington, added: “Kensington is delighted to be partnering with Even. Their innovative solution to help generation rent get on the housing ladder fits perfectly with Kensington’s goal as a specialist lender to help those who struggle to get a mortgage from mainstream lenders”
Even is one of a host of new equity lenders in the market, which includes the likes of Proportunity and Ahauz.
