The mortgage is designed to help borrowers who only have a 5% deposit, by offering a 15% interest-free equity loan supported by housebuilders and an 80% mortgage.

The equity loan remains frozen for the first five years, so that if the borrower clears the debt at the end of this period they will only repay the amount they borrowed.

If the borrower does not repay the equity loan in this time, it will increase or decrease proportionately in line with the property value, but capped at 2x the initial sum and this element will remain interest free forever.

Gen H says that its New Build Boost scheme has proved popular among foreign nationals who have made up 43% of applicants and healthcare workers who account for 31%. 

The lender says on average the equity loan “boost” has been equivalent to £47,000.

So far 88% of applicants have been first-time buyers and 63% have been families.

Gen H is expecting new housebuilders to join the scheme in the coming months and it is planning updates to support more buyers.

Persimmon is now offering New Build Boost on all of its own-brand and Charles Church sites in England.

Gen H chief commercial officer Pete Dockar says: “When we launched New Build Boost, we set out to tackle the deep-rooted affordability challenges in the UK new build housing market. 

“These initial statistics are incredibly encouraging and speak volumes about the scheme’s effectiveness. 

“We’re particularly proud to see that New Build Boost is empowering diverse groups, including a significant proportion of foreign nationals, who have historically faced disproportionate barriers to homeownership. 

“This success highlights how collaboration between lenders and housebuilders can genuinely make homeownership more inclusive.”