Foundation Home Loans has announced increases to the maximum loan size available across select residential product tiers.
For the lender’s F1 products, open to borrowers with an almost clean credit history, and F2 tiers, for borrowers with some historical credit blips, Foundation Home Loans has upped the maximum loan size at 65% loan to value (LTV) from £2m to £3m.
At 75% LTV, the maximum loan size has been raised from £1m to £1.5m, and at 80% LTV, from £750,000 to £1m.
The maximum loan size at 85% LTV has stayed at £750,000.
Across its F3 tier for borrowers with more recent credit blips, the maximum loan size at 65% LTV has gone up from £500,000 to £1m. At 75% LTV, this has risen from £500,000 to £750,000.
The maximum loan size at 80% LTV will remain at £500,000.
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Tom Jacob, director of product and proposition at Foundation Home Loans, said: “The needs of specialist residential borrowers continue to grow and this demographic continues to develop with a strong requirement for improved criteria and greater product options.
“This is why Foundation is always seeking to develop our proposition in this space, this time with an increase in the maximum loan sizes across multiple product tiers and LTV thresholds.”
He added: “We want to ensure specialist residential clients can secure the level of loans they want and need, and as property values have begun to rise, albeit at relatively low levels, we must ensure our loan size criteria meets the changing shape of the UK property market.
“For advisers dealing with clients who either just miss out on the high street, or have more complex and involved credit histories, Foundation has both the product choice and criteria required to make their property dreams a reality, either allowing them to get on the ladder for the first time, helping them move, or ensuring they have numerous refinance options.”
