Our new Interest-only mortgages could be a great choice for your residential clients who want more control and flexibility over their finances.
Lending criteria at a glance:
- No minimum income requirement – but your client must have sufficient income to support an equivalent repayment mortgage and meet our repayment affordability checks;
- A maximum of 50% LTV and a minimum of £300,000 equity left in the property after the mortgage amount required has been taken into account;
- Evidence of an acceptable repayment plan – this could be the sale of investments or a property, or a pension lump sum and must be based on current value, not projected forecasts.
What’s new?
We have 2 and 5 Year Fixed rate Interest-only products available, including our Interest-only Offset, a mortgage that combines the freedom of Interest-only with the flexibility of our simple Offset.
Product highlights
Interest-only
- 2 Year Fixed – 1.47% to 31.12.22 – £999 fee (ERCs apply)
- 5 Year Fixed – 1.95% to 31.12.25 – £0 fee (ERCs apply)
Interest-only Offset
- 2 Year Fixed – 2.29% to 31.12.22 – £0 fee (ERCs apply)
- 5 Year Fixed – 2.15% to 31.12.25 – £999 fee (ERCs apply)
To find out which of your clients may suit an Interest-only mortgage and to take a look at the criteria overview, case studies and important information, go to the dedicated Interest-only pages on our website.
