Norton Home Loans has introduced a package of criteria changes and rate reductions designed to expand mortgage access for borrowers with complex circumstances.
The specialist intermediary-only lender has eased several key requirements across its first and second charge product ranges, making it easier for clients with limited deposits, irregular income or historic credit issues to secure finance.
Among the changes, Automated Valuation Models (AVMs) can now be used on Right to Buy and purchase applications up to 80% loan-to-value, subject to confidence levels. Applications above that threshold or with lower confidence scores will still require a physical valuation.
NEW FTB CRITERIA
The required conduct period for customers with active Debt Management Plans has been halved, with satisfactory performance now accepted after six months instead of 12.
First-time buyers will also benefit from relaxed criteria. The lender will now accept a minimum credit score of 300 and a surplus of £300 across the case, removing the need for day-one referrals unless those thresholds are not met.
The changes are intended to give brokers greater flexibility when working with clients who fall outside the parameters of mainstream lenders.
Rates have also been cut by up to 1.4% across all lending plans, following the Bank of England’s recent base rate movement, enhancing competitiveness in the specialist mortgage market.
David Binney (pictured), head of sales at Norton Home Loans, said: “We’re continuing to see strong and consistent demand from borrowers who don’t fit the traditional mould of a high street customer.
“That might mean borrowers with a minor credit issue, variable income, or historic financial arrangements such as a Debt Management Plan that’s now well under control.
“We’ve implemented this package of criteria enhancements to remove some of the unnecessary friction that prevents those cases from progressing.
“For example, by shortening the DMP conduct period and allowing AVMs on Right to Buy and purchase applications, we’re reducing the number of small but time-consuming hurdles that can hold a case up for weeks.
“Similarly, the updates for first-time buyers are designed to simplify the process and give brokers more confidence at the point of recommendation.
“These refinements, along with the recent rate reductions, are about making sure our proposition evolves with the market. Brokers are dealing with an increasingly complex client base, and it’s our job as a specialist lender to adapt and support them.”
Based in Sheffield, Norton Home Loans has been providing first and second charge mortgages for over 50 years and lends across England, Scotland and Wales exclusively via intermediaries.
