Barclays returns to higher LTV mortgage lending

Barclays returns to higher LTV mortgage lending

Barclays has increased the loan-to-value limits on a series of its mortgages to improve the affordability of its range.

The bank has increased the loan-to-value (LTV) on its New Build house purchase mortgage to 90 per cent while the shared ownership LTV has risen to 95 per cent.

Barclays is also increasing its cap on like-for-like remortgage applications, from 85 per cent to 90 per cent LTV.

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These increased LTVs will apply for loans up to and including £500,000.

The bank has also removed the £10,000 minimum annual bonus threshold and the annual bonus capping in line with salary.

Income multiple policy will still be capped in line with basic annual income, plus allowances.

Craig Hall, new build manager at Legal & General Mortgage Club, said: "This news provides further choice to customers that are seeking to purchase a new-build house with a larger deposit without requiring the support of the Help-to-Buy scheme.

"In addition, the policy change provides further competition and choice for borrowers looking to purchase a shared ownership property, a tenure that has seen increased lender support over the last 12 months and will be welcomed by customers, intermediaries and housing associations."