• Owain Thomas

Halifax re-entering 90 per cent LTV mortgages

Halifax is relaunching 90 per cent loan-to-value (LTV) mortgages for first-time buyers on 8 December.

The lender is using special criteria which it said would help it to manage its service proposition and continue to lend responsibly.

The products are only available to first-time buyers, with at least one of any joint applicants needing to be a first-time buyer.


It does not include new build or other schemes and an enhanced credit score will be required.


Loan to income (LTI) is capped and 4.49 times income with maximum loans limited to £500,000.


Halifax noted that any current credit commitments will be deducted as ongoing in its affordability calculation even where declared as ‘to be repaid’.

“The loan amount must be affordable with these commitments deducted as remaining,” it said.


Advisers will be informed when submitting a decision in principle (DIP) if the case does not meet these criteria, and if LTVs on any already submitted cases are increased above 85 per cent they will also be subject to the new criteria.


Halifax’s re-entry into the 90 per cent LTV market is the latest of late as lenders are increasingly returning, with Accord, Platform and TSB all introducing more products in the sector in the last two weeks and Nationwide widening availability.


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