It raises maximum loan-to-value and loan size
Specialist lender Norton Home Loans has announced key updates to its lending criteria, including a higher maximum loan-to-value (LTV) ratio and an increased maximum loan size, providing more flexibility for borrowers.
The lender now offers an LTV of up to 85% on its Optimal range, targeting customers with minor credit issues over the last 12 months, as well as those with past county court judgements (CCJs), defaults, or other credit impairments. The maximum loan amount has been raised to £350,000, offering greater borrowing potential.
Other changes include updates for borrowers with temporary residency status. Eligible applicants must have a minimum credit score of 300 and demonstrate progress towards permanent residency or visa status.
Under Norton’s updated Right to Buy scheme, loans can now exceed the purchase price by up to £10,000, capped at 60% LTV. This is designed to help borrowers fund essential improvements to their properties.
The lender has also removed the requirement for a minimum of six months of mortgage history. Borrowers with any length of mortgage history can now apply, provided they can provide evidence of payment.
In addition, Norton has reduced interest rates across its Optimal Plans, with rates starting from 9.95%.
“The specialist mortgage market has seen increased competitiveness during 2024,” said David Binney (pictured), head of sales at Norton Home Loans. “These changes will help make us a more viable option for many borrowers seeking solutions to greater complexity and strengthen our position as a lender of financial inclusion moving forward.”
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