95% Residential variable for 3 years

Take advantage of this three year residential mortgage with just a 5% deposit required.

A 95% loan to value (LTV) mortgage allows you to borrow up to 95% of your property value or the purchase price, whichever is lower – this means that you only need to contribute a minimum 5% deposit.

95% mortgages are only available on our residential product range if you’re purchasing a property with a loan size of up to £500,000. The maximum amount we will lend will depend on your individual financial situation and other circumstances.

We will purchase additional security in the form of an insurance policy which protects us and not you in the event that we suffer a loss on the possession and sale of the property. The premium for this policy is included in the rate we charge for the mortgage.

The mortgages listed below move on to our Standard Variable Rate, currently 4.9% (variable), after the initial rate period. There may be a limit on how low your interest rate can fall. This is called an ‘interest rate floor’. The interest rate floor applicable to your loan will be specified in your loan documentation.

Initial rate i	Discount from SVR i	Overall cost for comparison i	Max % LTV i	Payment type i
2.99%	1.91%	4.4% APRC	95%	Repayment only
See example
Representative example: A mortgage of £200,000.00 taken out for a period of 32 years on a repayment basis. Monthly instalments: £697.83 per month for 35 months, followed by £1,005.84 per month for 348 months. Total amount payable: £375,841.37. Total amount of credit: £200,000.00. The total amount payable includes administration fee £125, valuation fee £285, product fee £800.00, completion fee £75 and closing fee £100. The overall cost for comparison is 4.4% representative APRC. This example is based on a typical mortgage and assumes that fees are not added to the mortgage. Please ask for a personal illustration for your own particular requirements.

Key features
- Availability – Purchase up to 95% Loan To Value (LTV). Minimum deposit of 5% required. LTV for new build is restricted to 90% for houses and 85% for flats.
- Flexibility – Overpayments up to 20% of the capital balance as at 1st January are allowed in each calendar year without penalty.
- Portable.
Early repayment
If you repay your mortgage early, or make an overpayment, you may have to pay an early repayment charge.
For full repayment, you will pay 3% of the outstanding balance in years 1 & 2, 2% in year 3, plus a Closing Administration Fee (currently £100).
For overpayments, you will pay 3% on any amount exceeding your 20% limit in years 1 & 2, and 2% in year 3.
Product fees
- Administration fee £125.
- Valuation fee (scale).
- Product fee 0.4% of advance (min £599, max £999).
- Completion fee £75.

Lending criteria

Residential Lending Criteria and Information

Loan:	Size: Minimum £50,000. Term: Minimum 5 years, Maximum 40 years.
Property:	Minimum Value: £100,000. Available for property in England, Wales and mainland Scotland. We are unable to offer a Right To Buy mortgage in mainland Scotland.
Applicant:	Age: Minimum 18, maximum is 85, subject to income in retirement.
Income:	Household income must be at least £20,000. No minimum period of employment, but must have passed probation, or have 3 years self employment history.

The amount we will lend will depend on the value of the property and a calculation based on income and expenditure. As a guide, we will take gross annual income and then apply a deduction for the annual amount paid towards any existing debts or other financial commitments. We apply the following multipliers to the amount remaining:

Income After Deductions	Sole Borrower	Joint Borrowers
£20,000-£50,000	4.25x	4.25x
Over £50,001	4.5x	4.5x

These multiples are for guidance only and do not guarantee that we will lend the amount indicated. We will carry out a full assessment of your income and expenditure to ensure that you can afford your mortgage both now and in the future.

Underwriting:	We take a flexible approach to underwriting and will consider each case on its merits. We do not credit score. The actual rate and APRC for your case will depend on your circumstances and our assessment of the risk.

Proc fee
We will pay a gross procuration fee of 0.35% on all introduced business. The fee is usually paid within five working days following completion. Procuration Fees may vary for our recognised Clubs & Packagers.
Useful stuff
Mortgage Insurance
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Tariff of Mortgage Fees
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Mortgage Conditions
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