Loan to Income Ratio - Advice

AnalogueNomad

Hi, as a general rule, what are the chances of getting a LTI mortgage beyond x4.5? I read lenders are restricted by the FCA to no more than 15% of all loans above that rate - is it really that black and white? I also read that Platform offer x4.85 as standard - is that correct? And, if so, how can they given the 15% limit? 

Thanks in advance! 

K_S

@AnalogueNomad If you meet the criteria for those products that offer 4.75x, 5x, 5.5x, etc your chances are as good as that at 4.5x.

Quite a few lenders/products offer more than 4.5x LTI. A couple of examples - Platform offers a 5.5x product for professionals, Coventry offers 5x even at 'normal' salaries at a sufficiently low LTV, Virgin offers 5x over a certain minimum income, etc. You need to meet the criteria they set.

As a very very general rule, the higher your income and lower the LTV, the higher your chances of a high income multiple cap.

Seashell517

I've got an offer for a 5x salary mortgage with Halifax. Not all lenders will go above 4.5, and when they do it's salary and LTV dependant.

AnalogueNomad

Thank you both - appreciated