Young professionals looking to purchase their first home, or move up a rung on the property ladder, were handed some positive news this week after the Clydesdale Bank launched a home loan deal offering more generous income limits for those who have qualified within the past five years.
The Clydesdale’s mortgage deal mortgage allows borrowers to take out a home loan of up to 5.5 times their income — significantly higher than the typical 4.5 times limit — up to a maximum loan of £600,000.
The lender have also reduced their deposit criteria, with 5% of the value of the property on offer, however, borrowers would pay of 3.59 per cent on a two-year fixed rate mortgage or 4.09 per cent on a five-year deal. For borrowers who can afford a bigger deposit, rates are significantly better: putting down 15 per cent means a two-year rate of 2.14 per cent and a five-year rate of 2.69 per cent.
Some lenders already provide targeted mortgage offers to young professionals, however, none with an LTV as high as 95 per cent. Metro Bank offers up to 5.5 times income to solicitors, barristers, doctors, accountants and actuaries who have qualified in the past decade, whilst Scottish Widows offer their own range of deals to professionals starting out.
Here at The Financial Planning Group we have access to the whole mortgage industry and are not tied to any banks or building societies, therefore we can ensure you find the perfect deal to match your personal.
This freedom opens up so many more options and offers – we have 25 years experience in helping families find the perfect low-rate deals and ensuring that the financial side of moving home is as stress free as possible.
It should be noted that we can also secure mortgage deals six months ahead of your current deal expiring, as well as remortgaging with your existing lenders WITHOUT the need of detailed re-application or the necessity of updating an individual’s status – so you really should speak to Steve at The Financial Planning Group today about what options are available to you.
If you would like to speak about your mortgage or re-mortgage, please feel call Steve Padgham on 020 8614 4782 or email Steve.Padgham@fpgonline.co.uk