New purchase product range now available and changes to affordability policy | View in browser
New purchase product range now available
To help us support more customers with a wider product range, we have increased the use of desktop valuations and can now offer selected purchase products. We have also expanded our LTVs across our residential remortgage range and BTL products.
Summary of new deals
From 8am on Friday 17 April, our Core range will be extended to include the following products available for properties valued between £80,000 – £500,000:
• NEW 75% LTV 2, 3 and 5 year fixed rates for residential remortgage
• NEW 65% LTV for residential purchase deals with free valuations starting from 1.62%
• NEW BTL purchase deals up to 60% LTV with £300 cashback and free valuation starting from 1.45%
• NEW BTL remortgage LTV increased to 60% LTV
• NEW 2 Year Freedom to Fix Trackers for existing customers
End dates will remain at 1 July of the relevant year.
Some restrictions apply to the types of lending we are currently able to offer – for example we are currently unable to accept New Build applications. Please visit our website for further details
Additional information
We’ve had to make some temporary changes to our lending policy which unfortunately means that we are currently unable to accept the following:
• Any form of variable income (overtime, commission, bonus). Affordability will only be assessed on basic salary.
• Where an employed customer is designated as furloughed, or a self-employed customer has applied for the self-employed income support scheme, their income will not be used in the affordability assessment.
• Personal Income will not be accepted on BTL applications where there is a rental shortfall between 100% and 145%.
Self-employed customers will also need to provide their last 3 months business bank statements to evidence continued turnover.
The changes to our affordability policy do not impact applications received before Friday 17th April 2020, which will continue to be assessed on a case by case basis.
If you have any questions or need further information on these changes please contact your dedicated Business Development Manager.
Service update
Due to the impact of COVID-19 we are focussing our resources on providing crucial services to customers during these difficult times, therefore our 10-day Application to Offer Service Commitment has been paused. We are working hard to progress cases in our pipeline and remain committed to getting offers to your clients as soon as we can. For any queries please talk to your dedicated Business Development Manager.
For full details of our current range, please view our Mortgage Update. For any other queries please talk to your dedicated Business Development Manager or contact your dedicated Regional Service Team.
The Virgin Money Intermediary Team
