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The purpose of this search facility is to provide guidance on Virgin Money's Lending Criteria. You can either browse alphabetically or enter a keyword you would like to search in the panel on the left hand side.
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Residential lending over 85% LTV is available on full repayment for properties with a maximum value of £600k.
Leasehold properties must have an unexpired term of at least 85 years at the point of application.
In all instances a satisfactory valuation report is required before Virgin Money will confirm a property is acceptable.
Virgin Money will consider Let to Buy applications, either the residential purchase of the new property, or the BTL remortgage of the customers current residence.
Where the security offered to Virgin Money is a residential property:
To confirm the monthly rental income we will require:
To confirm the monthly mortgage payment we will require:
Where the security offered to Virgin Money is a Buy to Let property:
Although Buy to Let mortgages are not regulated, scenarios where the tenant of the property is the customer's immediate family (e.g. parent, grandparent, child, grandchild, brother, sister) are regarded as regulated loans therefore they must proceed on a standard residential product.
The following restrictions apply:
The Directors remuneration can be taken into account as income along with their share of profit after corporation tax. However we do not allow dividends for limited companies. For Limited Company Directors the last two years’ full accounts and latest month’s business bank statements will be required. We will also request an accountant’s covering letter on your behalf.
If net profits are increasing - The average of the Directors remuneration and share of net profits over the past two years will be used.
If net profits are decreasing - The most recent year's share of profits plus the individual Directors remuneration for that year will be used.
If the company has made a loss within the last two years, Virgin Money would usually be unable to lend.
If the company's net worth has been negative in the last two years, Virgin Money would usually be unable to lend.
The net profits of a limited company are often referred to as profit after corporation tax.
Please note - If the customer is classed as self employed by way of having a 20% or more shareholding in a Limited Company, HMRC SA302's are not acceptable as income verification.
Customers who have a shareholding in a large LLP (e.g. Accountancy / Law firms) can be classed as self-employed providing the following criteria is met:
Residential maximum loan to value | Valuation or purchase price, whichever is lower | ||||
---|---|---|---|---|---|
£0 - £600,000 | £600,001 - £750,000 | £750,001 - £1,250,000 | >£1.25m | ||
Purchase and Remortgage | Interest only | 75% | 75% | 75% | 75% |
Repayment | 95% | 85% | 80% | 75% |
BTL maximum loan to value | Valuation or purchase price, whichever is lower | ||
---|---|---|---|
£0 - £437,500 | >£437,500 | ||
Non Portfolio BTL* | Interest only | 80% | 75% |
Repayment | 80% | 75% | |
BTL Portfolio | Interest only | 75% | 75% |
Repayment | 75% | 75% | |
*Max LTV is 75% where personal income is used. |
There is no LTV restriction for existing mortgage customers applying for a pound for pound product transfer.
The maximum LTV for existing residential customers seeking additional borrowing is 85% (other restrictions may apply), except for the purpose of debt consolidation where a maximum of 80% LTV applies.
There is no maximum loan size on pound for pound product transfers.
The maximum LTV for residential customers taking a mortgage on an interest only basis is 75%. For residential customers taking a part and part mortgage, the maximum LTV is 85%, of which up to 75% LTV can be on interest only. Where residential borrowing exceeds 85% LTV, the whole mortgage must be taken on a full repayment basis.
The maximum LTV for BTL customers taking a mortgage on an interest only basis is 80%. For BTL customers taking a part and part mortgage, there is no restriction on the maximum interest only element.
The maximum loan on Residential applications is £2million, and for BTL applications it's £1million. LTV and income restrictions apply. Please refer to the Maximum LTV section and Income and Affordability.
We define new build as a property where construction is completed and/or the property is first occupied, in the last 24 calendar months.
Clients buying a new build property may receive an incentive from the builder or developer to purchase the property. This must be declared at the time of application, or later if the incentive changes.
Cash incentives
Cash incentives of up to and including 5% of the purchase price are acceptable up to 90% LTV without affecting the loan amount. For LTVs up to 90% where the value of the cash incentive is greater than 5%, the balance of the incentive above 5% must be deducted from the purchase price when calculating the maximum loan amount. Where the LTV is greater than 90%, cash incentives must be deducted from the purchase price when calculating the maximum loan amount.
Acceptable cash incentives | Houses & Flats up to 90% LTV | Houses over 90% LTV* |
---|---|---|
Cashback deals | ![]() | ![]() |
Stamp Duty (Land and Buildings Transaction Tax in Scotland) paid | ![]() | ![]() |
Payment of fees to professionals, such as solicitors and valuers | ![]() | ![]() |
Guaranteed rental payments for a period after completion | ![]() | ![]() |
Gifted deposit from the builder or developer(please note, family gifted deposits are acceptable in line with standard policy and do not need to be deducted from the purchase price) | ![]() | ![]() |
Non-cash incentives
Acceptable non-cash incentives | Houses & Flats up to 90% LTV | Houses over 90% LTV* |
---|---|---|
White goods (where not included as standard specification) | ![]() | ![]() |
Carpets and curtains | ![]() | ![]() |
Kitchen upgrade (including tiling and worktops) | ![]() | ![]() |
Bathroom upgrade | ![]() | ![]() |
All electric upgrades (i.e. additional sockets, TV points, etc) | ![]() | ![]() |
Turf and landscaping | ![]() | ![]() |
*Up to 95% LTV on new build houses is only available for Shared Ownership, otherwise the maximum LTV is 90%.
Part-exchange transactions
Where the builder or developer is purchasing the customer’s existing residential property part-exchange transactions are acceptable. We will accept this in addition to cash and non-cash incentives.
Part-exchange is not available on a Help to Buy: equity loan.
For full details, please view the incentives section.
Offer – New Build
Please note the Offer for a new build property is valid for 30 weeks (seven months). If an extension is required beyond this time, a further 30 weeks (seven months) extension can be granted subject to the application being re-underwritten against current lending policy. The customer will also be required to choose a new mortgage product from those currently available.
For further details, please view the Offers section of our A-Z Lending Policy.
An acceptable New Build Warranty must be in place for any property which has been built or converted in the last 10 years, or is to be occupied for the first time. Acceptable warranty schemes are:
Virgin Money does not differentiate between British and Irish Nationals in our lending policy.
Non-UK/Irish Nationals:
The customer(s) must have unrestricted rights to live and work in the UK. Evidence confirming their rights of indefinite leave to remain in the UK or settled or pre-settled status under the Government’s EU Settlement Scheme must be provided. In all cases Virgin Money requires a minimum three years’ UK address history.
Requirements:
This website is for use by Virgin Money Intermediaries ONLY. Do not access this area or rely on any information/representations contained therein if you are a personal customer of Virgin Money or you are a private individual wishing to enquire regarding products & services offered by Virgin Money.
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