Foundation Home Loans makes changes on Professionals mortgage range

Criteria changes aim to allow more borrowers to secure these products

Foundation Home Loans makes changes on Professionals mortgage range

Foundation Home Loans, the intermediary-only specialist lender, has made several changes to improve its Professionals mortgage range.

It announced that it has widened its criteria for the range, which offers enhanced loan-to-income limits for professionals. It allows first-time buyers, home movers, and remortgagers in eligible professions to borrow up to six times their income.

Foundation is broadening its list of eligible professions to now include chartered tax advisers, optometrists, radiographers (diagnostic), and chiropodists.

The lender defines a professional as someone currently practicing and holding a relevant qualification; and its list of eligible professions also includes accounting, actuarial, medical, legal, surveying, architecture, and engineering, among others.

It is also removing the previous age restriction of 25 for eligible borrowers and reverting to the same minimum age as its standard residential mortgage range of 18.

Professionals can now borrow up to 90% LTV for loans up to £500,000.

The lender has also increased the maximum loan for professionals who can now access loans of up to £1 million at 75% LTV.

Foundation currently offers three product options within the Professionals range, including an ERC-free two-year discount, plus two- and five-year fixed-rates - all come with one free standard valuation and a product fee of £1,495.

A maximum of two applicants per mortgage are permitted on Professionals mortgages at Foundation, only one of whom needs to be an eligible professional.

George Gee, commercial director at Foundation Home Loans, related that, since the Professionals mortgage range was launched towards the end of last year, there has been a strong uptake and feedback on how the proposition might be broadened to allow more borrowers to secure these products.

“This has led us to expand the eligible professions and to look at moving our maximum age down to the same as our standard residential offering. To be eligible for the mortgage, borrowers need the relevant qualifications from their professional body,” Gee said.

“This is all about helping professional borrowers to secure the mortgage finance they need, particularly those first-time buyers who are looking to get on to the ladder for the first time. We believe these criteria changes will ensure we are able to help a wider group achieve this.”

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