No deposit?
No problem
Paying rent while saving for a deposit is brutal. Our daysrent® plans allow aspiring homeowners to buy a home without a down payment years before banks take them seriously
For those with savings, you can reduce the time it takes to get to full ownership, or lower your monthly payments, or any combination of the two
About us
Pathway is a UK FinTech startup developing home purchase plans as alternatives to conventional mortgages. We're on a mission to massively expand access to ownership and simplify the home buying process
We are developing an intuitive search and pricing platform that looks like a mash up between Zoopla and Google Maps and nothing like a mortgage application form
To fund these homes, we will offer institutional investors the opportunity to buy "rent-like" inflation-indexed annuities
The team
We make buying as easy as renting
Our daysrent® plans give renters a guaranteed pathway to ownership with no minimum deposit
We’re developing a search engine where house hunters set a daily budget, hit “explore” and pull up a map of homes they can buy one daysrent® point at a time
Who decides what you can afford?
Daysrent® points explained
The paradox of choice
Daysrent® plans are rental agreements that give tenants a guaranteed pathway to ownership.
Our plans give you a straight choice between paying rent to occupy a home you will never own versus paying the same amount to buy a comparable place in that neighbourhood.
Daysrent® plans are highly customisable. For example, you set the rent and we set the number of days in the pathway to ownership for each property available for sale,
We hope to test the system with consumers shortly.
A daysrent® point represents one day’s worth of payments toward the eventual ownership of your home. All plans have the same basic format. The total cost of owning that home can be calculated by multiplying the value per point by the number of points required to reach full ownership..
Imagine you feel comfortable paying £40 a day to buy a house because you're already paying £40 a day to rent a place. nearby (that's about £1,200 a month).
Now, imagine we show you two available properties. The first costs 10,000 daysrent® for a total of £400,000 over the next 27 years. The second is more expensive. It costs 11,000 daysrent® for a total of £440,000 over the next thirty years.*
Here's the hard part. You need to decide whether you prefer the second place, knowing it will take three additional years to own it free and clear.
* Pencils at the ready:
£40 x 10,000 = £400,000
£40 x 11,000 = £440,000
You can put your pencils down now.
The difference between a regular rental and a daysrent® plan is the value of your stake in the property when you sell.
You give us back your daysrent® points and we give you a share of the net proceeds of sale. So, the value of your daysrent® points represents your “equity” in the value of the house.
If you get to the end of the plan your equity will be worth 100% of the value at that point so we will sell you the freehold for a peppercorn.Mortgages are fiendishly complicated. Thousands of specialist advisors work full time to help mortgage borrowers sift through literally thousands of minutely different mortgage alternatives.
Meanwhile daysrent® plans are simple. You set the rent. We set the length of the pathway to ownership. Nobody pays an advisor before they plug the rent they’re willing to pay into Zoopla or Rightmove.
When we launch you can use our platform to find a home you want to buy. Then show your mortgage advisor that specific home and ask them if there are better ways to buy it.Like every home financing arrangement, your home is at risk if you can’t keep up your payments. If you run into difficulties, we will work with you to discuss options and solutions.
But here's how we think about it. Ten years into a thirty-year daysrent® plan, you will receive a third of the value if you choose to move or if (for whatever reason) you're forced to move.Since we share that value, we have every incentive to help maximise the value of your daysrent® points. And, remember, with a regular rental, your share of the value will always be zero.
In addition to being a home, it is likely, but not guaranteed that the property will hold its value over time if you look after it.
We make deposits optional and daysrent® plans are not structured as loans. So, as long as you keep up your payments, your share of the sale value will rise daily until it reaches 100%. After that, you can stop paying rent forever.
We do. First, we buy the property. Next, we hold it in trust for you. We record your daily payments and use these accumulated daysrent® points in the formula that helps apportion the share of the proceeds if you plan to move on..
You will be responsible for insuring and maintaining the house. Feel free to paint the walls, plant the garden, buy a dog (who might dig up the garden). Settle in. After all, the house is yours to keep.
No. A daysrent® plan is not a loan. We buy the house and you buy it from us one daysrent® point at a time. Unlike a mortgage, there are no circumstances under which you will owe us money if you choose to sell, even if property prices fall sharply.
You can buy points all in one go at the beginning of the month. You can buy them one at a time during the month, if that helps with your budget
If you choose to move, we’ll help you find a buyer and split the proceeds with you.
You exchange the points you’ve bought for a share in the value of your home. The longer you stay, the greater your share.
Here’s an example:
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Pathway to ownership: 12,000 daysrent®
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Points banked at time of sale: 4,000 daysrent®
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Your share of sale proceeds: 4,000 divided by 12,000 equals 33%
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You decide to stay another year: 4,365 divided by 12,000 equals 36%
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Let's go through an example. You're thinking about two similar houses. The first costs 10,000 daysrent® and the second is much more expensive. It costs 12,000 daysrent®
In both cases, you plan to move in ten years, by which time you will have banked 3,650 daysrent® (that's 365 days times ten).
The amount you pay to live in either house is exactly the same but, after ten years, you will own a smaller share of the sale value of the more expensive house.*
We have no way of knowing the value of either house ten years from now. But we have a stake in that value and every incentive to help you get a good price when the time comes.
* Pencils at the ready:
First house: 3,650 divided by 10,000 is 37%
Second house: 3,3650 divided by 12,000 is 30%
You can put your pencils down now.
We make deposits optional to radically expand access to ownership for people stuck renting. But., if you can afford it, we will show you how many daysrent® points
you can save by making an optional deposit. The choice is yours.
Daysrent® plans give you a straight choice between buying and renting. Over the decades it takes to buy a home, regular rents will probably double , when you adjust for inflation.
So, buying a home with a daysrent® plan might turn out to be even cheaper than renting. Plus you get to keep the house. So, there's that.
Tired of renting?
Join the Club
We have joined forces with Canopy, the premier rental pre-qualification platform
At launch, Canopy RentPassport holders will be invited to join the Pathway Club
Cashflow from our portfolio of members will be sold to institutional investors, like pension funds. We will use the proceeds to buy homes for Club members