Skipton Building Society has announced it will be easing its employment history criteria for first-time buyers and will no longer require proof of 12 months’ continuous employment history when applying for a mortgage. Instead, this will now align to its existing policy for home-movers, who are required to show 6 months’ continuous employment.
Not only this, the lender will be amending the maximum loan amount allowed on its mortgages, now accepting applications with a maximum loan size of £625,000 up to 85% loan to value (LTV).
New maximum loan limits from the lender now range from £500,000 to £625,000 for 85% LTV, £625,000 to £750,000 for 80% LTV and £750,000 and above for 75% LTV. Loans under £500,000 are available up to 90% LTV.
The lender also became one of many to pass interest rate cuts on its standard variable rate customers, in line with the Bank of England base rate cut, reducing its variable rate mortgages from 4.95% to 4.7%.
Meanwhile, Mansfield Building Society has extended its offering in the market, revealing a five year fixed rate buy to let mortgage with a rate of 3.29%.
Aimed specifically at independent landlords looking to offset Brexit uncertainty, this product is now available up to 70% LTV for purchase, remortgage and consumer buy to lets, as part of the lender’s existing buy to let portfolio for lending up to the age of 85.
This product comes with free basic valuation, a £199 application fee and £1,800 completion fee. It also comes with early repayment charges of 3% for five years.
Allowing landlords reassurance of a fixed outgoing to help manage income and expenditure, this follows speculation around market fluctuations since the result of the EU Referendum, alongside the recent increase in taxation for buy to lets.
Rental income will be assessed at 130% of the monthly mortgage interest, calculated at 5%.