UK building societies expand mortgage lending limits

UK building societies are expanding lending criteria to assist homebuyers in accessing higher borrowing limits.

Teachers for Intermediaries (TFI) has increased its maximum loan-to-value (LTV) limit to 95% for both new-build houses and flats. This allows eligible borrowers to purchase new properties with a minimum 5% deposit. TFI has also updated its floor-height restrictions; for properties completed from 2025 onwards, lending up to 80% LTV will no longer face floor-height limits, while lending above 80% LTV will be considered for blocks up to 12 storeys. For those in the education profession, the 95% LTV option can be combined with lending of up to seven times joint income.

Skipton Building Society has expanded its higher loan-to-income (LTI) lending policy. Through its LTI Booster range, eligible customers can now borrow up to 6x their income on lending up to 90% LTV, an increase from the previous 5.5x limit. For customers borrowing at 95% LTV, the maximum income multiple has increased from 5x to 5.5x. These changes apply to residential, Shared Ownership, First Homes, Help to Buy, and LIFT applications, provided minimum income requirements of £40,000 for sole applicants or £60,000 for joint applicants are met.