Skipton Building Society is increasing its maximum loan to income for residential mortgages on Monday 1 November.
The metal says it is making the change to further improve lending policy by returning to pre pandemic criteria, whilst making amendments to maximum loan sizes tailored to enable buyers to purchase the home of their choice without facing limiting criteria restrictions.
Key changes include:
New Loan To Income (LTI) Policy (with effect from Monday 1st November) subject to affordability and credit score.
- Loan to value 75% or lower on repayment (C&I) with income over £80,000 maximum LTI is now 5 (was 4.75).
- Income £40,000 or less or loan to value over 85% maximum LTI is now 4.49 (was 4.45).
- Help to Buy and Shared Ownership maintain a maximum LTI of 4.5
- Loan to value over 75%, income £80,000 or less and where there is any element of interest only will maintain maximum LTI of 4.75.
Charlotte Harrison, Skipton’s head of mortgage products, said: “I’m delighted to announce further improvements to our lending policy that supports larger loans for our mortgage customers. Its pleasing to see a continued evolvement of our mortgage proposition that continues to reflect the needs of our borrowers.”