Overview
- NatWest, which on Tuesday raised its loan-to-income limit for joint applicants to 6.5 times, said the change takes effect immediately for new applications.
- Eligibility is limited to couples earning at least £150,000 with loans capped at 75% of a property’s value, and it is open to first-time buyers and home movers.
- At the £150,000 income threshold, a couple could now borrow up to £975,000, compared with about £675,000 under a typical 4.5-times cap.
- Brokers warn that the required 25% deposit and high mortgage rates will limit take-up, with one example putting monthly payments near £5,525 on a 25-year deal.
- This is NatWest’s fourth income-multiple change this year and mirrors rivals’ offers from HSBC, Nationwide and Barclays, with the biggest impact expected among high earners in London and the South East.