Loughborough Building Society has increased its loan-to-value (LTV) limit to 95% for borrowers using its 5.5-times income multiple, up from the previous 85%.
This change is aimed at helping self-employed individuals and higher-income applicants who meet affordability requirements.
The society also keeps a flexible stance on credit history, allowing old defaults and County Court Judgements (CCJs) to be overlooked if they have been settled within certain timeframes.
This includes defaults on telecoms, mail order, utilities, or bank accounts resolved at least three months before applying for a mortgage.
Ashley Pearson, head of intermediaries at Loughborough Building Society, said: “This enhancement reinforces The Loughborough’s commitment to adapting its lending criteria to better serve the needs of modern borrowers, ensuring more people can access the right mortgage solutions for their circumstances.
“We recognise the challenges many borrowers face when trying to secure the borrowing they need, particularly those who are self-employed or have seen recent income growth.”
Pearson added: “By increasing our income multiple to 5.5x up to 95% LTV, we’re providing a more flexible and expansive solution that enables those looking to purchase or remortgage to maximise their borrowing potential in a responsible manner.”
