Community Housing Mortgage

Community Housing Mortgage

Helping you give a home to others.

  • Housing to benefit the vulnerable in the community.
  • Fully owned by you.

Christian social action projects are bringing restoration and hope to people across the country. 

We lend to individuals seeking to purchase accommodation to house vulnerable individuals, such as refugees, asylum seekers, adults with disabilities and those who have left prison or abusive situations. We also provide mortgages for social actions projects which are not overtly Christian.

We would usually require one of the following scenarios to be in place:

  • The property will be let to a charity who will provide accommodation and support for vulnerable individuals.
  • The mortgage borrower themselves will have considerable experience in directly providing this sort of accommodation.

The value of the mortgage available will depend on the amount of income the property will receive.

If you would like to discuss a Community Housing Mortgage, please do get in touch with our mortgage team.

YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

Case study

Janet volunteers for a Christian charity which supports asylum seekers. The charity was in need of housing for their clients, so Janet decided to purchase a property to rent back to the charity, enabling them to support those they serve.

Using a Kingdom Bank Community Housing Mortgage, Janet was able to facilitate accommodation for six asylum seekers connected with the charity. This enabled them to transform their lives, giving them physical provision and the opportunity to hear about Jesus.

*Story based on the experiences of real customers. Names and places have been anonymised.

Interest rates

Current interest rate 5.75%

  • Available to borrowers where loan-to-value is less than 75% and affordability is above 150% 
  • Rate fixed for 2 years.
  • Additional arrangement fee of £600.
  • The overall cost for comparison is 7.35% APRC*

*The above APRC is based on a mortgage borrowing amount of £100,000 over 25 years at 5.75% for the first 2 years, increasing to the Bank’s Standard Variable Rate (currently 7.20%) for the remainder of the mortgage.

Current interest rate 5.95%

  • Available to borrowers where loan-to-value is less than 75% and affordability is above 150%.
  • Rate fixed for 5 years.
  • Additional arrangement fee of £600.
  • The overall cost for comparison is 7.07% APRC* across all personal mortgages.

*The above APRC is based on a mortgage borrowing amount of £100,000 over 25 years at 5.95% for the first 5 years, increasing to the Bank’s variable rate (currently 7.20%) for the remainder of the mortgage.

Current interest rate 7.20%

  • Available to borrowers where loan-to-value is less than 80% and affordability is above 150% for owner-occupiers and 110% for Buy-to-Let.
  • This rate is managed by Kingdom Bank and is reviewed monthly.
  • Borrowers are given 14 days’ notice of any changes in the interest rate payable.
  • The overall cost for comparison is 7.60% APRC*

*The above APRC is based on a mortgage borrowing amount of £100,000 over 25 years at 7.20%

Current interest rate 6.15%

  • Available to borrowers where loan-to-value is less than 75% and affordability is above 150%.
  • This rate is managed by Kingdom Bank and is reviewed monthly.
  • Borrowers are given 14 days’ notice of any changes in the interest rate payable.
  • This discounted rate is available for the first three years of the mortgage, after which point it will revert to the Standard Variable rate.
  • The overall cost for comparison is 7.21% APRC* across all personal mortgages.

*The above APRC is based on a mortgage borrowing amount of £100,000 over 25 years at 6.15% discounted for the first 3 years, increasing to the Bank’s variable rate (currently 7.20%) for the remainder of the mortgage.

To see whether Kingdom Bank could provide you with a mortgage, please complete the form below. One of our friendly Christian mortgage team will be in touch to discuss your plans.

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You can also call us on 0115 921 7280 to discuss your enquiry.

Your property may be repossessed if you do not keep up repayments on your mortgage.