The partnership with will allow residents of Places for People's 57,000 properties across the country to purchase part or all of their homes using a mortgage from The Co-operative Bank.
Residents can become part owners of their home by purchasing 25 per cent of the property’s value. The share owned can then be increased in instalments of the resident’s choice.
Places for People is also piloting providing customers with personal loans of up to £3,000 in the North West with the aim of preventing them relying on high interest doorstep credit lenders.
Chief executive of the Co-operative Financial Services, David Anderson said: “This partnership is great news for would-be homeowners and will help people take those first important steps onto the property ladder.
“This scheme supports the Co-operative Bank’s commitment to helping first time buyers. It enables home ownership to be kept affordable by allowing residents to buy a partial share of their home, which can be added to at a later date.”
David Cowans, chief executive of Places for People, said he wanted to use the organisation’s size and financial strength to provide a one stop, housing supermarket that delivers products to meet customers’ aspirations. He said: “This unique move, together with the group’s wide ranging home and support services, underlines our determination to work with our customers to create sustainable communities. It will assist us to combat financial exclusion, prevent customers getting in to debt and help people step on to the housing ladder.”
