Halifax has increased the loan to income (LTI) across its income bands, and increased amounts of additional duty hours and nursing bank income assessed, to improve affordability for applicants.
The changes come into force from today and those earning less than £40,000 the maximum LTI is now 4.49x income. This limit was previously applied to those whose income was less than £30,000.
For borrowers earning over £75,000 with loans up to £1m at less than 75 per cent loan to value (LTV) they can access 5.5x income. This is an increase from 5x income.
At the same income bracket, loans between £75,000 and £1m from 75 to 85 per cent LTV the LTI has gone from 4x to 4.49x income.
Also for those earning above £75,000, and for loans between £500,000 and £750,000 with an LTV between 85 and 95 per cent, the maximum LTI is increasing from 4x to 4.49x income.
The lender has also boosted additional duty hours and nursing bank income allowed from 60 per cent to 100 per cent.
The lender added that a maximum LTI of 4.49x income applies to affordable housing schemes where there is self-employed income.
Anna is currently the deputy editor for Mortgage Solutions and editor for Specialist Lending Solutions. She has worked as a journalist since 2019, having secured her Gold Standard NCTJ diploma from News Associates in a fast-track six-month course.
She started her career as a report at specialist publication The Insurance Insider covering a wide range of areas before joining Mortgage Solutions and Specialist Lending Solutions in 2021.
In her role, she helps put together and structure the news agenda for the day and writes up press releases, reports, interviews, analyses and exclusives across both titles. She also commissions blogs for Specialist Lending Solutions and hosts online masterclasses and in-person events across the business.
She has been shortlisted for three journalism awards, which include BIBA Journalist and Media Awards Scoop of Year Award in 2020, Headline Money Mortgage Journalist of the Year Award (B2B) in 2022 and 2023.
Prior to being a journalist, Anna worked in ecommerce across Snow + Rock, Cycle Surgery and Runners Need websites, and before that worked at specialist financial PR firm Rostrum.
In her spare time, Anna enjoys reading, seeing live music, and cooking for friends and family. When she gets a chance, she also enjoys hiking, skiing and indoor rock climbing.
