Salary Multiples

AndyC67

I'm in a similar situation as yourself and was also looking for lenders that will go to 5 x Salary or thereabouts. The list I compiled was:

Woolwich
Cheltenham & Gloucester
RBS/Natwest
Principality

Halifax, Abbey and Alliance & Leicester will lend slightly less than those above but may still reach what you are looking for.

I went for the NatWest 5 year fix for 4.99% which hopefully I will get the formal offer for within the next week or so. Unfortunately they upped this to 5.59% last week.

Of those above the Principality is still offering a 4 year no fee fix at 4.99% I believe.

If you do go to RBS I would be wary of mentioning your housemate as they don't look favourably on lodgers.

I am currently with HSBC and tried to switch on to their Ratematcher deal but they are lending very conservatively now. Due to the fact I was moving from a joint income to sole income they would not let me switch despite the fact I could prove I had paid the existing mortgage on my own for 12 months and was lowering my payments by £75 per month! I have banked with HSBC for 22 years and have no credit card debts or other loans and an excellent credit rating!

Jacka87

Thanks Andy, I was originally going to re-mortgage with RBS about 3Months ago. However I had a probation period at work and they would not lend at the time. As a result I hav waited 3Months and they have now increased there rates twice by 0.5%, so 1% in total. This has taken them away from being competitive for my mortgage. Tho since it seems they are one of few that will lend to me, it seems that I may end up having to return to them for my mortgage!

Jacka87

I have just had alook at the principality deal. That seems quite a good deal. Its gona be less per month for me at 4.99%, no fees (which I like - tho will look at there fee version as well as the rates slightly lower), the only issues is I was thinking 5-10yr fix not 4 tho I will consider it, due to the fact that I am a graduate and that where I am working there is very little affect from credit crunch in tems of jobs I would suspect that in 4 yrs I would have higher salary and lower ltv so may be perfect. Would be delighted if this works out for me!

The only other issue I have is that they only have branches in Wales! I like the face to face dealings at times!

Thanks again

AndyC67

No problem Jacka

The only other issue with Principality is that overpayments aren't allowed and the ERC doesn't taper off like most longer term deals. I think it's a straight 5% penalty for the whole term.

Good luck with whatever you go for

Jacka87

I am not too bothered about overpayments as I would like to rebuild my savings a little as I used them to cover some of the bills before taking my new job.

Also the erc is flat rate but as its only a 4yr period as opposed to a 5-10yr that I was looking at then thats not such an issue either.

Still I will let you know how I get on!

Jacka87

just as an update, HSBC will not lend a large salary multiple, mine was around 3.3 times my salary.