We’ve improved our affordability

05 October 2023

We’ve got some great news for you – and for your customers too. You can now offer more of them the loan amounts they need. Read on and we’ll tell you why.

Advanced affordability

Put simply, we’ve made some improvements to our affordability calculations. This means, for most customers, we can now lend more today than we could last week.

Want to find out how much we could lend? Check out our updated affordability calculator.

Liberating our LTIs

We’ve relaxed our rules and removed restrictions, giving more customers access to higher multiples.

Contractors are no longer limited to 4.49x. Plus, higher earners and customers remortgaging with no additional borrowing now have increased access to our max 5.5x multiple.

Here are our new multiples:

Purchase or remortgage with additional borrowing

• Income under £50,000 – 4.49x
• Income £50,000 to £74,999 – 5x
• Income of £75,000 or more – 5.5x

Max 4.49x LTI at all income levels if any of the following apply

• Over 85% LTV
• Any part of the mortgage is Interest Only
• Any applicant is self-employed (not including contractors meeting our contractor policy)
• Shared Ownership

To determine the £50k/£75k income levels, and when applying LTI multiples we’ll include the following of the two highest earning applicants: basic pay, 60% of allowable variable income and 100% of pension.

Remortgage with no additional borrowing

• Up to 85% LTV – 5.5x
• Over 85% LTV – 4.49x

Just so you know, for a remortgage with no additional borrowing, income level and self-employment don’t affect LTI limits. The LTI is max 4.49x if any part of the mortgage is interest-only.

For more info, head to our lending criteria.