I am delighted to advise you that we have increased our LTV limits for loans in excess of £1 million and increased the amount that can be taken on Interest Only.
We can now lend up to 80% up to £2 million loan size, with 75% being on Interest Only.
Our LTV bandings are now as follows:-
Notes on Repayment Vehicles:-
Sale of Property (Down-sizing)
Loans up to £1.5m – acceptable repayment strategy as long as there is £300k equity. No more than 75% LTV is available if all of the loan is Interest Only. This can be topped up to 80% with C&I.
Loans over £1.5m – if this is the only repayment strategy, the maximum LTV is 60% for the Interest Only element. This can then be topped up with further Interest Only if another repayment vehicle can be included, and/or C&I.
Bonus Income for Loans >£1.5m
As well as increasing our LTV’s, we are now able to take into account a larger amount of bonus income when assessing the mortgage application.
- We no longer cap the bonus being taken into account as the same as the basic.
- Where bonuses are shown to be regular, 50% of the average of the last 2 years can be considered guaranteed income.
- For strong applicants we are able to take into account 75% of the average of the last 2 years bonus.
- Proof required: Last 2 years P60s and the relevant payslip for that year.
Additional points to note…
- Rates available; Our £1 million plus rates are applicable here.
- KFI’s; These can be obtained from our website KFI generator.
- Bank statements X 2 months are required for £1 million plus loans.
I am sure you will agree that the above is excellent news for your AR members and their high-net-worth clients. Please can I ask that all +£1 million cases are run past the Brokers BDM or the Broker Support Team in the first instance. Please call the Support Team on 0800 085 2846.
