Buy-to-let deals from the lender now allow a maximum loan of £1.5m, up from £1m, while its first-time buyer customers will be able to borrow a maximum of £1m, up from the previous limit of £500,000.
Kensington assesses affordability for residential deals by looking at a range of income sources, including self-employed earnings, bonus income and vested shares. Its affordability checks are based on the latest year’s salary for self-employed and contract workers, while borrowers with a strong credit profile will see up to 100% of their earned income assessed.
Steve Griffiths, head of sales and distribution at Kensington (pictured), said: “Whether it is for residential or buy to let, larger loans of more than £500,000 are rarely straightforward and often require individual assessment by an experienced underwriter. This approach is central to the way we approach every application we receive, and so it’s great news that we have been able to extend our criteria to larger loans for first-time buyers and buy-to-let landlords.
“These are exciting developments at Kensington and there is plenty more to come. We will continue to identify straight forward solutions to complex mortgage applications, and introduce more developments to our products and proposition throughout the year.”