Hodge Bank has increased maximum loan sizes across key loan-to-value bands and changed affordability criteria across its Hodge Resi and Hodge Resi Retire ranges.

At 95% loan-to-value, the maximum loan size has risen from £600,000 to £750,000.

At 90% loan-to-value, the limit has increased from £1 million to £2 million, while at 85% loan-to-value it has risen from £2 million to £2.5 million.

The specialist lender will also now accept 100% of bonus income, up from 75%, and will disregard additional voluntary pension contributions when assessing affordability for employed and self-employed applicants.

The changes are effective immediately.

Emma Graham (pictured), business development director at Hodge Bank, said: “We’ve taken onboard feedback from brokers and increased the amount that can be borrowed at higher LTVs. In the case of mortgages at 90% LTV, the maximum borrowing available has increased by 100%.

“This could make the difference between a customer being able to secure the property they want or having to compromise on location or size, for example by moving outside the catchment of their preferred school.

“Affordability remains at the heart of every lending decision, and along with the increase in maximum loan sizes, we’ve enhanced the amount of bonus income we can accept and adjusted our approach to voluntary pension contributions to support greater borrowing power.

“We’re confident these changes will help more customers achieve their financial goals.”

The lender said the changes follow recent updates including increased maximum loan-to-value limits for debt consolidation up to 90% and remortgaging up to 95%.

Hodge Bank is a specialist residential lender providing financial solutions for customers with complex income and affordability needs, lending up to and into retirement from age 21 to 95.