Melton Building Society has changed its lending criteria, increased the loan-to-values (LTVs) across both its interest-only and part-and-part mortgage product ranges.
The changes aim to support applicants who may be experiencing challenges with affordability.
For applicants requiring an interest-only product, they can now borrow up to 75% LTV, an increase from 60%.
Part and Part applicants are now able to borrow up to 85% LTV up from 75%.
Sole applicants for interest-only products must have a minimum income of £50,000, and joint applicants must have a combined income of £75,000, with at least one applicant earning £50,000.
The maximum age of borrowers at the end of term is 80, with all downsizing applicants having a maximum age of 70.
Dan Atkinson, head of intermediaries at Melton Building Society, said: “Since our inception nearly 150 years ago we have been committed to supporting people to achieve financial independence and to own their own home.
“For today’s borrower affordability has become increasingly challenging, with the significant
increase in deposits levels and property values well documented.
“It is important to us as a modern mutual that we do what we can to support today’s borrower to achieve their home ownership dreams, whether that’s through flexible underwriting, practical lending criteria or through our range of product options.
“We hope that these changes will broaden the range of applicants that we can support with making those dreams become a reality.”
