Virgin Money has removed its £30,000 minimum income cap on Help to Buy equity loan products.
The organisation will also accept applications from the Welsh government’s equity loan scheme and in Scotland where an ‘authority to proceed’ has already been obtained.
The Help to Buy equity loan scheme allows a customer to buy a new-build home with just a 5 per cent deposit.
It is designed to allow customers to purchase a newly-built home with a smaller deposit, whilst keeping monthly costs down, as the equity loan is fee-free for the first five years.
The government then loans up to 20 per cent of the property value, with a mortgage making up the remaining 75 per cent.
Products are available through Virgin Money’s key new build intermediary partners.
Anthony Mooney, director of financial service at Virgin Money: “The changes we are making allow Virgin Money to lend to customers with good affordability and an income below £30,000.
“This will play an important part in helping people to get their feet onto the first rung of the housing ladder. Virgin Money is committed to responsible lending in all segments of the mortgage market and this latest change to our mortgage policy demonstrates exactly that.”
