The mutual said this was part of its aim to support more borrowers.
For new interest-only borrowing, Nationwide is raising the maximum LTV from 60% to 75%. All other eligibility requirements will stay the same.
Foreign nationals without indefinite leave to remain in the UK will be able to borrow up to 85% LTV, up from the previous level of 75% LTV.
Applications above 75% LTV will be subject to minimum income requirements of £50,000 for sole applicants or £75,000 for joint applicants.
The mutual has also removed the requirement for foreign national applicants to provide at least 25% of the total deposit from their own resources. This change will apply to all applicants.
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Henry Jordan, Nationwide’s director of home, said: “These latest changes continue our efforts to support as many borrowers as possible, whether it’s purchasing a new property or looking for a new deal on their existing mortgage.
“The increase in maximum LTV for new interest-only lending helps more borrowers who prefer the flexibility of interest-only. The new maximum LTV available for foreign nationals also means that we will be able to support more of those customers with their mortgage needs.”
Stephanie Daley, director of partnerships at Alexander Hall, added: “Nationwide’s recent enhancements to their lending criteria mark a significant step forward in supporting a broader range of borrowers and means more of our clients will be able to access their product range. The increase in the maximum LTV for new interest-only lending suits our clients who want more flexibility and options when choosing their mortgage.
“Additionally, allowing foreign nationals without indefinite leave to remain to borrow up to 85% LTV is a game-changer and removing the deposit requirement further enhances accessibility. It’s great to see more options available for these good-quality borrowers.”
Last week, the firm announced it would be paying customers £50 as a thank you gift following its merger with Virgin Money.
