The lender estimated that one in 10 aspiring homeowners who are contractors or self-employed have less than a 10% deposit. Gen H said that through its policy change, it is seeking to end their exclusion from high-loan-to-value (LTV) lending by recognising a track record of variable but consistent income.
Sara Palmer, sales and distribution director, said: “The shape of our workforce is changing, but the desire for homeownership is not.
“Self-employed and contract workers should have the same right to access homeownership as anyone else – even with small deposits – but outdated ideas about the reliability of that income means too many are still locked out. We have approached this exciting expansion of our policy as we do all areas of our criteria: sensibly, and with prudence, but with a view to expanding access, not maintaining the status quo.”
