These changes will especially benefit self-employed applicants, those needing high-LTV loans, and families on average household incomes
Gen H has implemented sweeping changes to its LTI limits designed to enable more buyers to borrow more as they find their place on the property ladder.
Effective immediately:
- Self-employed applicants can now borrow up to 5.5 times their income
- Loans over 85% LTV will no longer be limited to 4.49 times applicant income
- The threshold for the gross income-based 4.49x LTI cap will be reduced from £50k to £40k
These changes enable Gen H to provide the necessary funding to up to 12% more customers, with maximum loan amounts increasing by as much as 22%.
Gen H has long been recognised as the lender for affordability, especially where complexity is involved.
These changes will especially help self-employed applicants, who already benefit from Gen H’s generous criteria. Gen H asks for 2 years’ trading but uses the latest year for affordability, enabling self-employed applicants to borrow more and buy sooner than at many high street lenders.
Pete Dockar, Gen H Chief Commercial Officer, said,
“I’m delighted to announce these positive changes to our loan-to-income multiples policy today. Increasing our LTI limits for self-employed applicants, those with small deposits, and those on average household incomes will allow us to support exactly the people we wish to reach: those who, without Gen H, may not have found a path to homeownership. These buyers are often underserved by existing mortgage products and the high street, so I hope the implementation of these new rules makes our stance very clear: we’ll take every chance we get to create more incremental homeowners.”