Nottingham amends lending criteria
As a result the lender has increased the single income calculation from ‘3.75 x single income’ to ‘4 x single income’. The joint income multiplier remains unchanged.
The buy-to-let maximum loan size has also been increased from £250k to £350k.
Martyn Bell, mortgage product manager at The Nottingham, said, “We have been talking to a number of our key intermediary contacts and customers and have received some very positive feedback for both our service and products, in particular about how some building societies and niche lenders are really helping people get a mortgage whereas some of the high street banks seem more reluctant to lend.
“We believe these criteria changes will help more applicants get the residential or BTL property they want at competitive rates, even at the higher loan to values where some bigger lenders are still reluctant to lend.”
Bell added that The Nottingham is currently in the process of building an affordability model which will replace its income multiple calculations in 2014 with the introduction of MMR.