During these uncertain times, we are doing everything we can to help you and your clients carry on as ‘normal’. In light of this, please see the below updates we have made to our lending criteria and valuation process.

Valuation Process

We are now able to complete desktop valuations for house purchase and remortgage applications up to 70% LTV. These include both residential and buy to let applications. Please, note the below conditions that apply to this process:

  • Desktop valuations are not available for all property types, please click here for full details.
  • All mortgage offers above 60% LTV will include a requirement for a physical valuation to be completed prior to release of funds. We do, however reserve the right to re‐validate the value of the security for any application if considered appropriate, this will be detailed within the offer document.
  • We continue to accept residential applications up to 90% LTV, however offers cannot be released until a physical valuation has been completed.

Income Criteria

  • Bonus and overtime payments will continue to be considered for key workers only. This will be based on their last 12 months average earnings.
  • Applications from furloughed applicants will be considered. Please note, any offer will be conditional on their income and employment being re‐validated prior to completion.
  • Self‐employed applicants must be able to demonstrate a clear 3 month income feed, accompanied by their most recent SA302’s. Again, they will be subject to re‐validation prior to completion
  • Applications for zero hour contracted “key workers” can still be considered.

New lending exclusions

In light of the current climate, the below exclusions have been added to our existing list:

  • Remortgage applications for debt consolidation
  • Applications on new build flats
  • Applications for Shared ownership properties

 

BTL Specific Amendments

  • We will require proof of 6 months mortgage payments retained in savings. This is to cover increased potential of voids or rental payment issues in short term.
  • For remortgage applications with existing tenants, an AST must be supplied in all cases.
  • Flats in blocks of more than 5 storeys will continue to be considered on an individual basis by our lending credit committee. However, are now restricted to a maximum limit of 8 storeys and 60% LTV
  • Applications for 1 bedroom apartments/flats will not be considered at the current time.