Dudley Building Society has increased the maximum loan size on its large loan product from £1.5m to £2.5m.
Dudley will now lend up to 70% loan-to-value (LTV) on loans from £1.5m – £2.5m and up to 80% LTV on loans from £1.0m – £1.5m.
Large loans are fixed at 3.34% for five years with an ERC of 3% for the first two years and 1% for the remaining three years.
Dudley’s chief executive, Jeremy Wood, said feedback from introducers on the topic of increasing loan sizes has been growing all year.
He said: “Listening to our customers’ needs is one of the key determinants on which our new product development is based. It has been clear for some time that broker firms are encountering more clients whose funding requirements exceed many lenders’ criteria. Increasing our maximum loan to £2.5m represents a logical move to meet a genuine need in the market.
“Loans of this size also require special handling, so Dudley’s experience and expertise in manual underwriting offers introducers the perfect product and processing combination that their customers can rely on to purchase or remortgage quickly and efficiently.
“There is only one other mainstream lender offering residential mortgages over £2m and currently our 5-year fixed rate represents the best value for brokers and their customers. Dudley Building Society is again proving how important mutual lenders can be in providing solutions that the broker market needs.