Aldermore increases max term and loan to income

Aldermore increases max term and loan to income

Aldermore has made a host of changes to its lending criteria on its residential mortgage range.

This includes increasing its maximum mortgage term from 35 years to 40 years, while it has also raised the maximum loan-to-income ratio from 4.5 to 5.5 for borrowers with a total allowable income of at least £50,000.

In addition, Aldermore will now lend up to £1m on its standard level one 80% LTV product, up from its previous limit of £400,000, while on its 95% LTV deal the maximum loan now stands at £500,000.

All communications missed payments, like mobile phones, will be ignored by the lender too.

Aldermore has also expanded the types of property it will lend on to include studio flats over 30sqm, while there are no longer any restrictions on flat roof properties. The lender’s maximum acreage rule has been removed as well.

Damian Thompson, director of mortgages at Aldermore, said that the lender wanted to make it easier for borrowers to get the home they want.

“We know that people’s situations can be varied and complex, that they often don’t fit in the boxes other lenders require them to fit in, so it can be a real challenge to receive the financial support they need,” he added.

SOURCE: mortgagesolutions

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