 The Nottingham now accepts the sale of mortgage property as a repayment vehicle for interest-only mortgages.
The ongoing cost of living crisis continues to bite hard and with thousands of fixed term deals coming to an end this year, many households are facing the prospect of unaffordable monthly mortgage repayments. As a mutual, The Nottingham wants to do everything it can to help borrowers and the society believes this latest change to its criteria will give your customers a great option to make their monthly mortgage payments more manageable. What’s new? Borrowers with at least £200k equity in their property (£300k in London and the South East) can now take out an interest-only mortgage and pay back the sum at the end of their mortgage term using proceeds from the sale of the property. This means they’ll no longer require a separate repayment vehicle, such as a pension plan lump sum, stocks and shares ISA or the sale of an investment property or second home. Borrowers also have the flexibility to use a combination of repayment and interest-only methods. A greater level of flexibility Commenting on change, Sales Director Alison Pallett said: “At The Nottingham, we’re committed to empowering borrowers through innovative solutions and we continue to evolve our services to meet the dynamic needs of customers and to provide them with a greater level of flexibility.
“Adding SOMP as a repayment vehicle is a great example of this. The flexibility and financial benefits of SOMP create a valuable avenue for borrowers seeking alternative ways to meet their mortgage obligations, either in the short or long term.” |
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