Perenna has joined the Own New Rate Reducer scheme, which offers buyers lower rates if they buy a home with certain housebuilders.

The scheme provides an incentive to the buyer, through a lower rate and Perenna passes on the reduction across the whole mortgage term.

On the scheme, Perenna’s minimum term is 25 years, and the minimum LTV is 60%. Perenna’s rates on the scheme are 0.5% lower than its standard mortgage products.

Its 90% LTV, over a term of 30 years and with a product fee, is 5.26% (versus 5.76% on its standard mortgage product on the same terms).

Participating housebuilders include Barratt Developments, Persimmon, Taylor Wimpey, Bellway, and Berkeley Homes.

Perenna opened up to the wider broker market earlier this year with its long-term fixed rate mortgage, which offers increased affordability through the removal of the reversion stress test and only has early repayment charges for the first five years.

Perenna founder and chief operating officer Colin Bell commented: “ Together we will enable more people into homeownership, and work towards creating a nation of happy homeowners. Combining rates fixed for the whole term, with no exit charges after five years, gives people stability and flexibility to make changes when the time suits them.”