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Hanley Economic Rolls Out Nationwide 100% ‘Rent to Own’ Mortgage for Renters

The five-year fix bases affordability on verified rent history with borrowing limited to 133% of current payments.

Overview

  • Borrowers can access up to £350,000 at a 5.79% fixed rate for five years following a pilot in Stoke-on-Trent.
  • Applicants must show 12 months of on-time rent, meet a £25,000 minimum household income, and pass standard credit checks.
  • The product is available only on houses, with monthly mortgage payments constrained relative to current rent.
  • Advisers say it can help renters who already manage mortgage-sized payments, while warning of higher costs and greater exposure to negative equity.
  • Alternatives highlighted include Skipton’s Track Record Mortgage, Shared Ownership schemes, and guarantor-backed deals that may be cheaper or lower risk.