Metro Bank has introduced a new Joint Borrower Sole Proprietor (JBSP) mortgage that enables buyers to borrow up to 100% of a property's value, on the condition that an immediate family member agrees to share liability for the debt. The product is aimed primarily at first-time buyers struggling to save a deposit, offering loans of more than 95% and up to the full value of a home.
How the Joint Borrower Sole Proprietor Mortgage Works
Under the scheme, the buyer must convince a close relative—such as a parent, grandparent, spouse, child, or grandchild—to sign up as a joint borrower. Unlike a conventional joint mortgage, the family member does not hold a share of the property. Instead, they serve as a financial safety net, with the buyer remaining the sole legal owner while both parties are jointly liable for the mortgage debt.
Metro Bank confirmed the product is also accessible to current homeowners, subject to eligibility requirements. All applicants will receive expert mortgage guidance before securing the loan, whether they apply directly or via a broker. The lender emphasised that both the borrower and the supporting relative will undergo its affordability assessments and enhanced eligibility screening before a loan receives approval.
Eligibility and Terms
The joint borrower must be a close family member and must possess their own earned income rather than depending solely on a pension or state benefits. The mortgages are offered as five-year fixed-rate packages with terms ranging from five to 35 years. There are no product charges or valuation costs. However, the scheme is not available on new-build properties or homes situated above commercial premises.
Statement from Metro Bank
Charles Morley, Director of Mortgage Distribution at Metro Bank, said: "For many first-time buyers today, getting on the property ladder can feel impossible, and family members often want to do anything they can to help. Acting as a Joint Borrower provides a way for immediate family to be that support without watering down the ownership of the property or being asked to provide a deposit. At Metro Bank we understand the importance of lending responsibly while continuing to be innovative and challenging, and we've carefully developed our mortgage product with this in mind."
Context and Expert Warning
The development comes as sky-high house prices and stricter affordability criteria continue to leave many would-be homeowners depending on the so-called 'Bank of Mum and Dad' to get a foot on the property ladder. While 100% mortgages largely vanished following the financial crisis, lenders have progressively started reintroducing products aimed at helping creditworthy borrowers with minimal or no deposit, frequently by requesting family members to provide additional financial backing or guarantees.
Consumer specialists say such schemes can offer a valuable pathway onto the property ladder, but families should thoroughly weigh up the risks before committing, as joint borrowers remain responsible for the debt if the homeowner cannot maintain repayments.
