Skipton BS changes Track Record Mortgage criteria

September 10, 2024 by Heidi

Mortgage Advisors

Skipton Building Society has announced further changes to the criteria of affordability for its Track Record Mortgage product, which are intended to open the loan up to more potential borrowers.

This product comes with LTV of 100% and factors in rent payment amounts during calculations of monthly mortgage repayments. Under the new criteria, some applicants will be able to get one of the loans when monthly repayments amount to 120% maximum of their prior rent payments. In addition to that, Skipton BS has confirmed that borrowers can now opt for an upper repayment period of 40 years, instead of 35.

Both changes have the intention of making the product affordable for a wider range of potential borrowers. Those buying new build properties will be able to apply for one of the Track Record Mortgage loans now too, which was not the case before.

The final change introduced by Skipton BS is to add a separate loan to the main one. This will be for people who are buying homes on a shared ownership basis only. Jen Lloyd from Skipton BS told Mortgage Finance Gazette that the lender was determined to help people realise their homeownership dreams. She also added:

“Our Track Record Mortgage, which launched in May last year, was designed to help aspiring homeowners who have a strong history of paying rent and bills but due to rising costs are unable to save for a house deposit.”

Advisors with CeMAP training know that deposit costs are a barrier, so products of this sort are needed.