The Nottingham Building Society has increased its loan to income (LTI) ratio from 4.5 times income to 5.5 times income.
This will be available to households with a gross annual income of over £75,000. This means people with an income of this level could access a loan of up to £412,500 instead of the previous maximum of £337,500.
The Nottingham said it made this change in response to the “challenging economic climate” that homeowners were facing.
The mutual will still conduct its affordability tests including a stressed interest rate, to make sure it lends responsibly.
Alison Pallett (picture), sales director of the Nottingham Building Society, said: “It’s imperative that we move with the ever-changing needs of our customers.
“We know that homebuyers are facing an extremely challenging economic environment, and we are committed to helping buyers navigate this period. We also recognise that rapid changes to the way we live and work mean that lenders with non-traditional circumstances can find it difficult to get the mortgage they want. We hope that alongside our affordability criteria, increasing our LTI ratio will help more homebuyers on their journey.”
Shekina is the deputy editor at Mortgage Solutions and commercial editor at Mortgage Solutions and Specialist Lending Solutions. She has nearly eight years of experience in the B2B publishing market, having previously covered the hospitality, retail, pet, accounting and jewellery sectors.
Shekina has worked for Mortgage Solutions and Specialist Lending Solutions for almost five years. Here, she covers the market’s breaking news stories, engages with professionals in the sector, and oversees any commercially agreed content in partnership with mortgage-related companies.
This includes presenting webinars and hosting roundtable discussions on developing themes in the mortgage sector.
She is an NCTJ-trained journalist and was nominated for the Headline Money Awards Mortgage Journalist of the Year in 2021.
In her spare time, Shekina likes to read, travel, listen to music and socialise with friends.
She currently reports on current events in the mortgage market and liaises with financial clients to produce sponsored content.
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