Income Multiples
Current income multiples are shown in the following table:
LTV |
Single Applicant |
Joint Applicants |
>80% |
4 x income |
4 x first applicant’s income + 1 x second applicant’s income OR 3 x joint income |
<80% |
4.5 x income |
4.5 x first applicant’s income + 1 x second applicant’s income OR 3.5 x joint income |
- For applications > 80% LTV the current income multiples (stated above) must not normally be breached.
- All mortgage applications received by the Society are assessed using the Society’s Affordability Model.
- Lifestyle issues are assessed by the Mortgage Underwriter by inspecting the applicant’s bank statements, covering the most recent 3-month period.
Mortgage/Rental Payments
- If the conduct of the existing mortgage cannot be verified via bureau data, the following documentary evidence should be obtained:
- Bank or mortgage statements, which largely cover the 12-month period prior to application, or a lender’s reference.
- For first-time buyers where the borrower is living in rented accommodation provided by a housing association or local authority, the following documentary evidence of rental payments should be obtained:
- Bank or rental statements, which largely cover the 12-month period prior to application, or a landlord’s reference.
FOR INTERMEDIARY USE ONLY
