The intermediary-only lender has increased the maximum loan to value (LTV) for borrowers where no applicant has indefinite leave to remain from 75% to 90%.
This increase in LTV is subject to a minimum income requirement of £50,000 for at least one applicant.
If the minimum income threshold is not met, the maximum LTV will remain at 75%.
For joint applicants, where one applicant has indefinite leave to remain, the lender will offer up to 95% LTV.
Accord Mortgages will accept Universal Credit as a source of income when assessing affordability, as long as one applicant receives earned income.
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The firm said it would consider 60% of the total amount, barring housing allowance, service charges, or the child element for children aged 11 or over, to be verified by the most recent award letter.
The lender said the changes were the latest example of its “continued commitment to common-sense lending, which sees it further enhancing its offering to help more brokers and their clients in a complex mortgage market”.
Accord Mortgages recently increased the maximum loan sizes by up to £1.6m in some cases and extended 95% LTV lending to new builds.
Nicola Alvarez, head of strategic partnerships and propositions at Accord Mortgages, said: “We’re so pleased to make these changes, which mean that we’ll be able to help more under-served borrowers to achieve their homeownership dreams, whether they are buying their first home, moving up the property ladder, or remortgaging.
“Enhancing our criteria for those without indefinite leave to remain means that we can support them in achieving their homeownership aspirations, building a more stable future for themselves and their families.
“Accepting Universal Credit as part of our affordability assessment further supports our commitment to common-sense lending, opening up opportunities for brokers whose clients may be finding it more challenging to get the mortgage they need.”
