Easier for some to qualify for a mortgage and to afford a larger or more expensive property
Mortgages with 5.5 times salary to those with just a 5% deposit are now being offered, and Preston Baker Financial Services has access to these mortgages which could help more people become homeowners.
The increase in borrowing and decrease in minimum deposit for some will mean that it will be easier for some to qualify for a mortgage and to afford a larger or more expensive property than otherwise possible, making it more likely they can afford their dream home.
The newly-launched mortgage criteria means qualifying buyers with 5% deposits are able to borrow up to 20% more than they previously could. It makes it easier for buyers to meet the affordability criteria and to perhaps get out of rented accommodation or the family home and into a place of their own more quickly.
For example, a first-time buyer couple with a joint income of £50,000 could potentially borrow up to £275,000 now instead of £225,000 previously.
Normally, banks permit borrowing of up to 5 times the applicants' combined salary.
If you would like to discuss a mortgage please contact Preston Baker Financial Services. Call 0800 505 3355, or email info@prestonbaker.co.uk
