Pepper Money has expanded its affordable home ownership proposition with the launch of its dedicated proposition to support the First Homes scheme.

The First Homes scheme offers new build properties for a discount of at least 30% on the open market value, and local authorities have the discretion to set deeper minimum discounts of either 40% or 50% through local planning policy.

The government scheme is available on new build homes and, until now, has only been supported by mainstream lenders. By launching First Homes, Pepper Money says it will be the first specialist lender to provide an option for ‘hopeful homeowners’ whose circumstances fall outside of mainstream criteria.

Paul Adams (pictured), sales director at Pepper Money, said: “At Pepper Money, we have a clear purpose, to deliver positive societal outcomes and promote greater financial inclusion to a more diverse range of customers. Our affordable home ownership proposition plays a vital role in this, and we are committed to helping even more Hopeful Homeowners to achieve their dreams.

“The rising cost of living continues to make it harder for Hopeful Homeowners to take their first step onto the property ladder. But schemes like First Homes, which offers significant discounts on open market values, could make the dream of home ownership more achievable.

“Our First Homes mortgages, which are supported by our transparent criteria, individual underwriting and consistently excellent service, provide the perfect option for customers whose circumstances mean they are not properly served by the high street.”