Foundation for intermediaries

If you are a mortgage broker in the United Kingdom, you know that not every case fits the standard lending rules. Some of your clients have past credit issues. Others own several rental properties or are looking at houses in multiple occupation (HMOs) or short term lets. Some have income from contracts, self employment, or later life arrangements.

Foundation for intermediaries is built for these real life situations. In this article, Mortgage Introducer will look at this lender's history, criteria, and product ranges. Our focus is to help mortgage brokers who want to see how Foundation for intermediaries can help their clients.

Applicant criteria at Foundation for intermediaries

Knowing who fits Foundation's profile is vital before you talk to your clients about an application:

1. Age and number of applicants

Applicants must be at least 18 years old. The standard upper age is 75 years and 364 days where affordability can be assessed. Where that is not possible, Foundation for intermediaries looks to the current state pension age as the upper limit.

This lender normally allows up to two applicants on a case. Where there is a family link between applicants, or where a Joint Borrower Sole Proprietor (JBSP) product is used, up to four names can be considered. In those situations, loan-to-value (LTV) must still fit within the stated limits.

First time buyers are accepted. This helps when you work with younger borrowers or those new to the property market. Guarantors are not part of the model, so affordability rests with the named applicants.

2. Marital status and sole remortgages

Foundation can consider sole name borrowing for remortgages where the existing mortgage is already in a single name. This can support your clients who are changing life circumstances or wish to separate financial affairs without selling a property.

3. Residency and foreign nationals

Applicants should have been permanent residents in the UK for the last three years. Where a case involves the Armed Forces, there is flexibility for members who are serving or have served abroad.

Foreign nationals must meet the same residency duration. In addition, they need a stable immigration status. Accepted routes include:

• indefinite leave to remain
• settlement
• right of abode for EU, EEA, and Swiss nationals (settled or pre-settled status)

Where that status is not yet granted, Foundation might consider applicants who hold a suitable working visa. The visa should allow an extended stay and a path toward longer term residence, and evidence will be required.

If a borrower has applied for settlement but is still waiting for a decision, proof of that application is needed. As for embassy staff, Foundation for intermediaries will not consider them.

4. Minimum income and benefits

There is no fixed minimum income figure. However, all income must be declared and supported by evidence. Applicants who rely on job seekers' allowance or income support are not accepted. Foreign currency income is outside policy, so income needs to be paid in sterling.

5. Employed applicants

For employed borrowers, Foundation for intermediaries does not require a set length of time with the current employer. Zero hours contracts are excluded. Across roles, the minimum employment history is three months.

For first time buyers, the standard expectation is at least six months of employment history with any employer. Foundation can look at cases where a first time buyer has less than six months' history. In those cases, the borrower should be working for their first employer at the time of application.

6. Self-employed applicants

Self-employed applicants can be considered with a minimum of one year of accounts. Where a company director holds 20% or more of the shares, Foundation for intermediaries treats that person as self-employed and applies the same requirements.

Recent reports show that there are about 300,000 self-employed borrowers who are ready to buy a home in the UK.

7. Loan size and term

The minimum term is five years, and the maximum is 40 years. The smallest loan size is £50,000. Maximum loans vary by product family. Foundation for intermediaries' F1 and F2 products can support loans up to £3 million, including fees. F3 products can support up to £1 million, also including fees. F4 products reach up to £500,000, including fees as well.

8. Loan-to-value (LTV)

The overall maximum LTV is 90%. For interest only borrowing, the limit is 70%. Where part and part repayment is used, the total LTV can reach 80%. In that case, the interest only portion must not exceed 70%.

New build flats are more restricted. These are usually limited to 65% of the resale value. LTV can rise to 70% where the valuer supports the figure. Flats and maisonettes above commercial premises can be considered individually, with a general cap of 60%.

Loans of £90,000 or less, after fees, are capped at 75% LTV. Properties worth £90,000 or less are also capped at 75%. Fees can be added to the balance as long as this does not push the loan above the product's maximum size.

All of these limits sit within product availability. Individual products might carry tighter boundaries.

See the latest LTV and other figures from all the top mortgage lenders in our guide to current mortgage rates in the UK. You can also check back weekly for updates.

Product criteria and special options

Foundation for intermediaries offers a mix of product enhancements for specific borrower types and property features within its residential range:

Green options

Where the security property has an Energy Performance Certificate (EPC) rating between A and C, Foundation for intermediaries has green options. These recognise the energy performance of the asset.

However, listed properties are not included. Mortgage brokers can use the official government EPC registers for England, Wales, and Scotland to confirm ratings before placing a case.

Professionals Product

The Professionals Product is aimed at borrowers in certain professions who meet defined qualification requirements. Qualifying professionals can be considered for a loan to income ratio up to 5.99 times.

This remains subject to standard affordability checks. A maximum of two applicants can use this product on a single application.

Key Workers Product

Foundation for intermediaries also offers a path for recognised key workers. For these applications, where the listed role is the source of main income, this lender can consider a loan to income ratio of up to 5.49 times. This is also subject to affordability checks. Their Key Workers Product is available to up to two applicants per case.

Eligible roles cover a wide range of public service positions, including:

• armed forces roles
• National Health Service (NHS) clinicians and nurses
• paramedics
• ambulance drivers
• midwives
• UK Fire Service staff
• teachers and lecturers
• police and prison officers

Scottish equivalents fall under the same banner.

Get to know Foundation for intermediaries

Foundation and Foundation Lending are the trading names of Paratus AMC Limited. The firm is authorised and regulated by the Financial Conduct Authority (FCA). The company behind Foundation has been part of the UK mortgage market since the late 1990s.

Over that time, it has refined its focus on specialist lending:

• 1998: The business launched as RFC Mortgage Services Limited. It entered the market with a focus on specialist and real-world lending.
• 2000: It was bought by GMAC and rebranded as GMAC RFC Limited. GMAC Residential Funding later joined the line up as the business grew.
• 2002: This lender had become the 13th largest in the UK. In 2006 it moved further up the rankings and reached 10th place. This reflected strong support from mortgage brokers and advisers.
• 2010: After the credit crunch, the business moved towards mortgage servicing. This was under new ownership with Fortress Investment Group. In 2011 it was renamed Paratus AMC Limited.
• 2015: The business again focused on lending as well as servicing. It began trading as Foundation Home Loans and pushed further into specialist cases.
• 2022: It became part of the Apollo group. This supported further investment and growth.
• 2026: This lender adopted the simpler name Foundation. The new branding reflects real world lending built on stronger foundations.

Why Foundation for intermediaries could suit your next case

Foundation for intermediaries gives mortgage brokers a specialist lender focused on real world cases. This lender has built a model that supports intermediaries who need to place complex or non-standard business. With flexible criteria on applicant age, income types, and residency, Foundation for intermediaries can help you when your clients sit outside straightforward high street rules.

The buy to let F1, F2, and F3 ranges give paths for clean credit borrowers, landlords with historic blips, and those with more recent issues. Foundation for intermediaries can also support HMOs, multi unit blocks, and holiday lets. So, if you're looking for a lender that applies specialist experience and focuses on intermediary relationships, Foundation for intermediaries is worth considering for your next case.

Still, every client's needs are unique. Exploring a range of banks and mortgage lenders can help you find the best fit for each situation. Here are some options to consider:

• NatWest for intermediaries
• Barclays for intermediaries
• HSBC for intermediaries
• Nationwide for intermediaries
• Accord for intermediaries
• Coventry for intermediaries
• Leeds for intermediaries
• Skipton for intermediaries
• Aldermore for intermediaries
• Precise for intermediaries

Try checking out other mortgage lenders with intermediary-focused platforms in our Guides section.