Gen H has made enhancements to its criteria to accept nieces, nephews and friends as income boosters.
As part of the changes, friends can act as income boosters on mortgages up to and including 80% loan-to-value (LTV).
Family, now including nieces and nephews, can act as income boosters on mortgages up to and including 95% loan-to-value (LTV).
The full list of eligible family members includes parents and step-parents, children and step-children, grandparents, siblings, half-siblings and step-siblings, uncles and aunts (siblings of parents only), and nieces and nephews.
Income boosters go on a mortgage with owners to boost what they can borrow – a structure commonly known as a joint borrower sole proprietor (JBSP) mortgage.
Gen H’s income booster includes a calculation which can remove the booster at age 85, meaning the booster’s age will not limit the mortgage term.
This flexibility enables borrowers with older boosters to still achieve the 30-year or 40-year mortgage term they may need to afford the mortgage.
Will Rice, Gen H CEO, said: “We’ve seen how many people our income booster product has been able to help.
“This is why, when our brokers began requesting that friends be able to act as income boosters, we took note.
“I’m delighted to introduce this change, especially in light of two consecutive rate reductions, because it means we’ll be able to support even more aspiring homeowners.
“This important development is thanks to the attention and advocacy of our broker partners.”
