In a move that is set to provide borrowers with more flexibility, Principality Building Society has announced updates to its mortgage lending criteria.
The changes encompass both buy-to-let and holiday let mortgages, as well as extending lending into retirement age for residential mortgages.
Under the updated criteria, first-time buyers will no longer be required to own their home when applying for a buy-to-let/holiday let (BTL/HL) Mortgage. This change is set to remove a significant hurdle for first-time buyers seeking to enter the property market through BTL or holiday let ownership.
In addition, Principality has abolished the minimum income requirement for applicants of HL/BTL mortgages, which could broaden the range of potential investors in this property sector.
In a shift designed to assist older borrowers, Principality will now accept employed income up to the age of 75 for all residential mortgages.
The Society will utilise the applicant’s current income to assess affordability, as long as the customer is more than 10 years from retirement and can demonstrate that they are contributing to a private pension.
Helen Lewis, national account manager at Principality, said: “We’re delighted to be introducing our updated lending criteria to the market.
“The changes have been made in response to feedback from our brokers, customers, and staff, and we’re pleased to be able to help more people onto their property ladder with these latest offerings.”
