Redrow and Persimmon have announced a new equity loan product to allow buyers to purchase homes with a 5% deposit, in a bid to boost demand.

The pair, which have a combined annual housing turnover of nearly £7bn, have launched the Rezide Equity Loan, billing it as a “privately funded replacement for Help to Buy”. The product has been developed with real estate asset manager QSix and lender Ahauz, backed by Barclays and TSB.