Pepper Money broadens mortgage criteria

September 28, 2024 by Mark

Lenders

Pepper Money has announced that it is broadening some of the criteria tests for its range of mortgage products, with the aim of opening them up to borrowers who just fall short of mainstream lender criteria.

One of these changes will see the lender accept a builder’s deposit of a maximum 5% when it comes to loan applications for new build properties. Another will see the age that the borrower can be when their term of repayment ends raised. Previously the oldest that someone could be when they finished repaying a Pepper Money mortgage was 75, but that will be raised to 80.

That will also mean that income from earnings is accepted for repaying the mortgages for longer. Before now, the specialist lender accepted this kind of income up to the age of 70, but now it will be up to the age of 75.

The last of the criteria changes sees the maximum term of repayment available increased. Borrowers now have the option of choosing a 40-year repayment term. The sales director for the company, Paul Adams, told Mortgage Strategy that the lender understood the pressures that rising living costs had put people under in recent times.

He then said:

“So, we are doing all we can to help those customers who just miss out on a mortgage from a high street lender to continue to be able to achieve their goals.”

This is a development that mortgage advisors who have CeMAP training will welcome, as specialist lenders are essential in the current climate.