For commercial investment and commercial owner-occupier applications, the minimum applicable debt service coverage ratio for limited companies has been cut from 135% to 130%.
For personal applications for both ranges, the minimum applicable debt service coverage ratio has fallen from 150% to 145%.
The maximum mortgage term has been extended from 25 years to 30 years.
Commercial mortgage rates have also been lowered with variable rates now starting from 4.04 per cent plus base rate and fixed rates from 7.09 per cent.
The lender added that it had also introduced a “new tiered pricing structure as part of its ongoing commitment to enhance its lending proposition”.
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Tom Worbey, senior product manager, said: “Affordability is front of mind in today’s market. Landlords are dealing with higher costs and tighter yields and businesses face reduced business rates relief and increased National Insurance. All of these add extra burdens to these businesses, and brokers are working harder than ever to structure viable deals.
“By extending our mortgage term and reducing the minimum coverage ratios, we’re giving brokers and their clients greater flexibility to find the commercial borrowing they need.”