The Ipswich Building Society has launched five new mortgage products, aimed at increasing its support for “mortgage misfits”, specifically the self-employed and contractors.
The new deals are available direct and through selected brokers.
The Self Employed Specialist mortgage is a two year discount rate, currently at 3.59% (Standard Variable Rate -1.90%). Up to 75% LTV(5.4% APR) is available up to a maximum value of £350,000. This has an unlimited repayment facility, and is available for purchase and remortgage.
To be eligible for this product, the applicant’s accountant must be suitably qualified and the applicant’s income must be verified to the 12 months accounts in the first instance or via HMRC assessments. The applicant must be in the same line of work as that carried out over the previous three years and have a minimum of one year’s accounts.
The Self Employed Professional is a two year discount rate product, currently at 3.99% (Standard Variable Rate -1.50%). Up to 90% LTV (5.5% APR)is available up to a maximum value of £500,000. This has an unlimited repayment facility, and is available for purchase and remortgage.
This product is aimed at self-employed applicants who are in a professional occupation such as solicitors, architects, accountants, dentists, doctors, surveyors, pharmacists, vets and optometrists, and are working as part of an established partnership of at least three years. Those who have accounts for over one year will be considered for up to 90% LTV, and those with less than one year’s accounts at an established firm will be considered up to 75% LTV.
The Society has also launched the Contractors’ mortgage, specifically designed for IT and other professional contractors such as project managers and interim executives; those who undertake contract work on a regular basis (excluding the CIS scheme). The criteria allows for a 30-day period of no work to allow for bank holidays, annual leave and void days between contracts.
This product is a two year discount rate, currently at 3.99% (Standard Variable Rate -1.50%). Up to 90% LTV (5.5% APR) is available up to a maximum value of £750,000. This includes an unlimited repayment facility, and is available for purchase and remortgage.
A two year discount rate product, currently at 2.79% (Standard Variable Rate -2.70%), is available for up to 90% LTV (5.2% APR) and with unlimited overpayments has been introduced for purchase and remortgage.
The Society has also launched a 3.09% fixed rate product, fixed until 31 January 2018, up to 90% LTV (5.2% APR) with a 50% overpayment facility available for purchase and remortgage.
Paul Winter (pictured), CEO of Ipswich Building Society, said: “We’re continuing to offer choice to home-buyers of all shapes and sizes, including mortgage misfits who are often overlooked by other banks and building societies.
“Too many credit-worthy borrowers with unusual circumstances are overlooked by mainstream mortgage lenders and our view is that ‘mortgage misfits’, including the self-employed and contractors, should have the same level of choice and access to the mortgage market as any other group.”