Newcastle for Intermediaries has made substantial changes to its interest-only mortgage range, raising the maximum loan-to-value from 75% to 80%, with Part-and-Part loans now available up to 85% LTV.

The lender said the move would expand the range of repayment options open to borrowers and give more clients access to homeownership.

In a further change, prompted by broker feedback, it will now allow multiple repayment strategies to be combined to clear the loan at term.

The policy for borrowers downsizing via the sale of an existing mortgaged property remains unchanged, with the interest-only LTV cap held at 60%.

Ben Smith (pictured), head of commercial and product development at Newcastle Building Society, said: “We know that brokers and their clients value choice and simplicity, so by extending our interest-only LTV to 80% and accommodating multiple repayment vehicles as standard, we’re making it easier for brokers to find the right solution for those looking to move home and remortgage.”