Starting from 17th March, Nationwide has implemented significant updates to its lending criteria, aimed at providing greater flexibility and support for borrowers. These changes focus on enhancing options for interest-only mortgages and foreign nationals without indefinite leave to remain in the UK.
Interest-Only Mortgages
Nationwide has increased the maximum loan-to-value (LTV) ratio for interest-only mortgages from 60% to 75%. This adjustment offers borrowers more flexibility while maintaining the existing eligibility requirements.
Foreign Nationals
For foreign nationals without indefinite leave to remain, Nationwide has raised the maximum LTV to 85%, up from the previous 75%. This option is available to:
- Sole applicants with an income of £50,000 or more.
- Joint applicants with a combined income of £75,000 or more.
Additionally, for all applications, Nationwide has removed the requirement for a 25% deposit to come from the applicant’s own resources. Borrowers who do not meet the income criteria can still access loans up to 75% LTV.
A Step Forward
These updates reflect Nationwide’s commitment to supporting a broader range of borrowers, whether they are purchasing a new property or refinancing an existing mortgage. Nationwide has implemented significant updates to its lending criteria, aimed at providing greater flexibility and support for borrowers. These changes focus on enhancing options for interest-only mortgages and foreign nationals without indefinite leave to remain in the UK.