Skipton BS widens higher-LTI lending to more borrowers
Skipton Building Society has made its higher-loan-to-income (LTI) lending policy available to more homebuyers.
Borrowers will now be able to access loans up to six times their income on lending up to 90% loan to value (LTV) across its LTI Booster range, up from the previous limit of 5.5 times income.
Borrowers accessing a mortgage at 95% LTV will be able to borrow up to 5.5 times income, up from a ratio of five.
Sole applicants must have a minimum income of £40,000 or £60,000 for joint applicants, and the policy is available across residential, shared ownership, First Homes, Help to Buy and LIFT applications.
Jen Lloyd, head of mortgage products at Skipton Building Society, said: “For many aspiring homeowners, affordability isn’t always the challenge. The barrier can be borrowing enough to buy a suitable home in the area where they want to live.
“That’s why we’re increasing our loan-to-income limits for customers whose circumstances support it. It’s about creating a fairer path to homeownership by recognising that some borrowers can comfortably afford their mortgage repayments but are restricted by borrowing caps that don’t always reflect their individual situation.
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“By providing greater flexibility within our lending criteria, we’re helping more customers access the borrowing they need, widening access to homeownership for people who may otherwise struggle to get on the property ladder or make their next move.
“All lending decisions remain subject to our affordability assessment, regardless of the income multiple. We continue to lend responsibly, ensuring customers can comfortably afford their mortgage repayments.
“While not every borrower will need or want a higher income multiple, this change gives us greater flexibility to support customers whose circumstances justify it, while maintaining the prudent lending standards that have always underpinned our approach. It’s another step towards making homeownership more accessible, without compromising on responsible lending.”
