Basic lending criteria

LENDING AREA
We lend in England & Wales

Applications are accepted from advisers in Suffolk, Norfolk, Essex, Cambridgeshire, Bedfordshire and Hertfordshire

Shared ownership applications are accepted for properties in Suffolk, Norfolk, Essex, Cambridgeshire, Bedfordshire and Hertfordshire

INCOME MULTIPLIERS
Max LTV 75%
4.5X sole
3.5 X joint
4.5 X sole plus 1

LTV above 75%
4.25 X sole
3.25 X joint
4.25 X sole plus 1

PROOF OF RESIDENCY
3 years VR proof on credit search
Or 2 years POR via bank statements, utility bills

COMMITMENTS
All financial commitments deducted
If 12+ months to run – deduct 12 X payments from income
If less than 12 months to run – deduct total outstanding from income
Credit cards – 3% of outstanding balance annualised

ADVERSE
No adverse accepted on 90% LTV products
CCJ's totalling up to £500 made over 12 months ago, but now satisfied
Default totalling up to £500 made over 12 months ago, but now satisfied
Mortgage payments no missed payments in last 12 months
Loans/Credit Cards no missed payments in last 12 months
Overdrafts not exceeded overdraft limit more than 3 months in last 12 months
Credit card limits not exceeded credit card limit more than 3 months in last 12 months
Bankruptcies/IVAs discharged 3 years ago/IVA's satisfied 3 years ago

PROPERTY WE CONSIDER:
All FREEHOLD (except flats and maisonettes)
LEASEHOLD - Minimum 70 years left on lease at the start of the mortgage
NEW BUILD - No flats, maisonettes or apartments considered (except for Shared
Ownership/Affordable Home Loans)

MORTGAGE TERM:
Minimum 5 years Maximum 40 years
(Buy to Let mortgages maximum of 25 years)

BUY TO LET (BTL):
Maximum portfolio 10 properties, 4 with Ipswich Building Society including new application. Total loan to individual/joint borrowers with Ipswich Building Society not to exceed £500,000. Minimum loan for buy to let is £50,000. 100% rental cover required on existing portfolio. 125% rental cover required on new application. No minimum income on BTL. No maximum age on BTL. New build houses considered. 50% capital repayments without penalty whilst in ERC period

Requirements:  

• No new build flats, studio flats, ex local authority flats/maisonettes, flats above 5 storeys or flats above commercial property
• Properties must be let on an approved Assured Shorthold Tenancy
• Properties must not be houses in multiple occupation (HMOs) which require licensing
• Letting must be on an unfurnished basis
• The let will be to an individual (includes couples and families) but not to a company or business
• The buildings insurance policy must be in joint names with the Society and provide a minimum of £1,000,000 public liability cover
• DSS tenants, multi-lets and student lets are not acceptable
• Applicants must:
  
  1. currently or have previously owned their own home
  2. be a UK resident
  3. not be in arrears with any mortgage they currently have.
  4. must be in receipt of income from employment/self employment pension or investment

SHARED OWNERSHIP:
Available on Affordable Home Loan products only. Subject to Lease meeting
Society’s Shared Ownership terms and conditions.

SELF BUILD:
Available on self build products only.

RIGHT TO BUY / RIGHT TO ACQUIRE:
Available on all products except specialist remortgage products, Buy to Let and
Affordable Home Loan. Additional funds can be borrowed for home
improvements. Maximum LTV 75% of open market value. 100% of discounted
purchase price available.

REPAYMENT METHODS:
Loans can be taken on a repayment, interest only or part repayment/part
interest only basis.