Kensington Launches 90% Loan to Value

by Mark Johnston

Resently the Kensington mortgage lender re evaluated the loan to value (LTV) on its mortgage products and launched a 90% loan to value (LTV) during May of this year.

Originally the mortgage lenders gave the launch of these deals exclusivly to the Legal and General mortgage club, when launching in May the 90% loan to value (LTV) was only accessable on a limited range of products. The Kensington mortgage lenders have now opened this fantastic 90% loan to value (LTV) to its core range

Products available include a 90% LTV two-year fix for first-time buyers at 5.99%, with a £699 fee.

Kensington has also made changes to its lending criteria, including alterations to the minimum income requirements for first-time buyers borrowing more than 80% LTV.

Joint applicants will now need to demonstrate a minimum joint income of £40,000, whereas previously the main applicant on a joint mortgage needed to earn at least £35,000. There will now be no separate minimum income requirement for the main applicant on joint applications.

Single applicants need to demonstrate a minimum income of £35,000, as before.

Kensington has also changed criteria on its buy-to-let products. For landlords who can demonstrate they have satisfactorily maintained mortgages on at least four buy-to-let properties for the previous 12 months, the lender will waive the requirement to demonstrate minimum income.

In addition, the firm has introduced free valuations for remortgage customers, alongside the free legals it already offers.

Charles Morley, head of sales at Kensington, says the changes are a direct result of intermediary feedback.

He says: “Our research tells us that the market needs more 90% LTV products where responsible lending decisions can be supported by consistent, individual underwriting.

“Many first-time buyers do not have extensive credit histories because they have not managed a mortgage in the past. And if they have not used credit cards or taken other forms of credit this may impact their ability to pass a credit score and prove a barrier to securing a mortgage on their first home.

“Kensington are different. We use an experienced team of underwriters alongside our technology, which means we are able to consider all of an applicant’s circumstances even if they do not have a significant file of historic activity with the credit rating agencies.”

Kensington is opening up its 90% LTV mortgage lending to the whole of the market.

The lender initially launched a limited tranche of 90% LTV deals exclusively via Legal & General Mortgage Club in May, but has now increased its maximum LTV to 90% in its core range.

Products available include a 90% LTV two-year fix for first-time buyers at 5.99%, with a £699 fee.

Kensington has also made changes to its lending criteria, including alterations to the minimum income requirements for first-time buyers borrowing more than 80% LTV.

Joint applicants will now need to demonstrate a minimum joint income of £40,000, whereas previously the main applicant on a joint mortgage needed to earn at least £35,000. There will now be no separate minimum income requirement for the main applicant on joint applications.

Single applicants need to demonstrate a minimum income of £35,000, as before.

Kensington has also changed criteria on its buy-to-let products. For landlords who can demonstrate they have satisfactorily maintained mortgages on at least four buy-to-let properties for the previous 12 months, the lender will waive the requirement to demonstrate minimum income.

In addition, the firm has introduced free valuations for remortgage customers, alongside the free legals it already offers.

Charles Morley, head of sales at Kensington, says the changes are a direct result of intermediary feedback.

He says: “Our research tells us that the market needs more 90% LTV products where responsible lending decisions can be supported by consistent, individual underwriting.

“Many first-time buyers do not have extensive credit histories because they have not managed a mortgage in the past. And if they have not used credit cards or taken other forms of credit this may impact their ability to pass a credit score and prove a barrier to securing a mortgage on their first home.

“Kensington are different. We use an experienced team of underwriters alongside our technology, which means we are able to consider all of an applicant’s circumstances even if they do not have a significant file of historic activity with the credit rating agencies.”

Kensington is opening up its 90% LTV mortgage lending to the whole of the market.

The lender initially launched a limited tranche of 90% LTV deals exclusively via Legal & General Mortgage Club in May, but has now increased its maximum LTV to 90% in its core range.

Products available include a 90% LTV two-year fix for first-time buyers at 5.99%, with a £699 fee.

Kensington has also made changes to its lending criteria, including alterations to the minimum income requirements for first-time buyers borrowing more than 80% LTV.

Joint applicants will now need to demonstrate a minimum joint income of £40,000, whereas previously the main applicant on a joint mortgage needed to earn at least £35,000. There will now be no separate minimum income requirement for the main applicant on joint applications.

Single applicants need to demonstrate a minimum income of £35,000, as before.

Kensington has also changed criteria on its buy-to-let products. For landlords who can demonstrate they have satisfactorily maintained mortgages on at least four buy-to-let properties for the previous 12 months, the lender will waive the requirement to demonstrate minimum income.

In addition, the firm has introduced free valuations for remortgage customers, alongside the free legals it already offers.

Charles Morley, head of sales at Kensington, says the changes are a direct result of intermediary feedback.

He says: “Our research tells us that the market needs more 90% LTV products where responsible lending decisions can be supported by consistent, individual underwriting.

“Many first-time buyers do not have extensive credit histories because they have not managed a mortgage in the past. And if they have not used credit cards or taken other forms of credit this may impact their ability to pass a credit score and prove a barrier to securing a mortgage on their first home.

“Kensington are different. We use an experienced team of underwriters alongside our technology, which means we are able to consider all of an applicant’s circumstances even if they do not have a significant file of historic activity with the credit rating agencies.”

Kensington is opening up its 90% LTV mortgage lending to the whole of the market.

The lender initially launched a limited tranche of 90% LTV deals exclusively via Legal & General Mortgage Club in May, but has now increased its maximum LTV to 90% in its core range.

Products available include a 90% LTV two-year fix for first-time buyers at 5.99%, with a £699 fee.

Kensington has also made changes to its lending criteria, including alterations to the minimum income requirements for first-time buyers borrowing more than 80% LTV.

Joint applicants will now need to demonstrate a minimum joint income of £40,000, whereas previously the main applicant on a joint mortgage needed to earn at least £35,000. There will now be no separate minimum income requirement for the main applicant on joint applications.

Single applicants need to demonstrate a minimum income of £35,000, as before.

Kensington has also changed criteria on its buy-to-let products. For landlords who can demonstrate they have satisfactorily maintained mortgages on at least four buy-to-let properties for the previous 12 months, the lender will waive the requirement to demonstrate minimum income.

In addition, the firm has introduced free valuations for remortgage customers, alongside the free legals it already offers.

Charles Morley, head of sales at Kensington, says the changes are a direct result of intermediary feedback.

He says: “Our research tells us that the market needs more 90% LTV products where responsible lending decisions can be supported by consistent, individual underwriting.

“Many first-time buyers do not have extensive credit histories because they have not managed a mortgage in the past. And if they have not used credit cards or taken other forms of credit this may impact their ability to pass a credit score and prove a barrier to securing a mortgage on their first home.

“Kensington are different. We use an experienced team of underwriters alongside our technology, which means we are able to consider all of an applicant’s circumstances even if they do not have a significant file of historic activity with the credit rating agencies.”



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