Family Building Society
Property Value (min)£120,000 (A small amount of flexibility on this between £100-£120,000)
£45,000 (A small amount of flexibility can be applied to the amount on referral sometimes)
75% up to £500,000
60% up to £500,000 property value and 50% up to £750,000 (£1million inside Greater London Area) to allow for Desktop valuation.
Max Loan at 60% £1,500,000
Max Loan at 50% £3,000,000
Max Loan at 40% £3,000,000 plus (no maximum but subject to underwriting)
Capital Raise available to max LTV
Term (Max)40 years
Minimum Age18 years old
Maximum AgeMax Age AT Application - C & I 90 and Interest Only 89. (5 Year Term max at these ages)
Family Cash Gift Deposityes, considered
Family Gift of Equity DepositMax Age AT Application - C & I 90 and Interest Only 89. (5 Year Term max at these ages)
Income (min)Affordability Based no minimum
Furloughed Employees – We will use the 80% or 100% if topped up by employer subject to an employment reference confirming that they will be returning to their role. Extra caution will be taken with high-risk sectors such as Aviation.
100% of basic salary, shift allowance, car allowance and London weighting. 50% of guaranteed/ regular overtime/
bonus/ commission and profit related pay. FTB accepted.
1 Years self- employed provided same line of work as before otherwise 2 years. If Limited Company can consider using Salary and Profit after tax if have more than 33% shareholding. Chartered Account Required on the accounts.
Multiple Income sources accepted but max 2 from employment (e.g could use State Pension, Private Pension, Investment and Rental all together)
Income from employment and benefit: -
No benefit income useable other than child benefit which is already within the affordability model when children are selected
Uusal ages for taking earned income 70 but up to age 75 can be considered for suitable applicants
100% of State and Gtd Private Pension
Drawdown/SIPP and SAS Pensions - Work off Pot value minus any tax free cash element and then divide that figure by number of years client wants the mortgage over. NO requirement for that figure to be drawn on completion. These pots can be used from age 55.
100% of Investment Income on 2 years Tax Return. Lump Sum Investments - Up to 5% Capital Return can also be used as income as does not need to be declared on a tax return
100% of Rental Income on 2 years Tax Return
100% of Commercial Rental Income
Foreign Income can be considered - Subject to a exchange rate calculation of worst exchange rate last 10 years
Trust income can be considered
Let to Buy (Turning Residential into Buy to Let)When lending on new Residential whilst retaining existing property: -
Maximum 80% LTV, where the existing property is to be let and considered to be self-supporting.
Applications can be considered for the purchase of owner-occupied property, up to a maximum 80% LTV, where an existing owner-occupied residential property will not be sold and instead be let.
The deposit must be from the applicant's own resources, including any additional borrowing raised from the existing mortgage, and the letting must be on a formal recognised tenancy
It is expected that the client has requested Consent to Let from their current Lender
Ex-Local Authority PropertiesHouses and Apartments: - Accepted up to product maximum LTV, subject to the following conditions:
Standard Construction Only
No Deck Access
Minimum Ownership6 months as a rule however if bought with bridging finance these can be considered sooner subject to a suitable explanation (e.g. Unable to mortgage at the time of purchase).
Permanent rights to reside and remainYes, required
Ex-PatriatesYes - Case must be on Interest Only and must be lived in by Husband or Wife/Partner/Children only
New BuildsHouses only max 75% LTV. May consdier Apartments inside M25 up to max 50%
Any incentives to be disclosed and will be discounted from price
Historic CCJ’s & DefaultsWe are not an adverse lender but can consider 1 CCJ satisfied under £500 in the last 3 years. CCJ's are generally ignored if over 3 years old AND satisfied over 3 years ago
Defaults must have been satisfied 3 years+ ago.
1 x Communication issue can be referred provided it is under £500
Valuation FeesPaid direct to the lender at the lender fee scales. Free Valuations on Residential Purchase and Remortgage cases up to £500,000 (Discount of £360 above that value)
Maximum number of applicants4 and can use all 4 incomes (Sometimes we will only use 3 incomes and treat 4th applicant as non-dependant as this can improve affordability especially if applicant 4 has a modest income amount)
CountriesEngland and Wales only
AccessAccess to Family BS is available via selected packagers networks.
Missed mortgage payments1 in last 12 months but 0 in last 6 months, 2 in last 36 months Mortgage Payment holidays – for BTL need to make the next payment before completion
Right to Buy (RTB)Yes
Debt Management PlanNo
Help To Buy (Shared Equity)No - but Family do consider Forces Help to buy.
Ex-BankruptsMust have been discharged for 3 full years - Easch case will be individually underwritten so should be referred before application
IVAsMust have been discharged for 3 full years - Easch case will be individually underwritten so should be referred before application
RepossessionsNo but can refer if over 10 years ago
Payday LoansNone in the last 3 years
Repayment TypesCapital and repayment. Interest Only to 80% LTV - No min Income or Equity. The remaining equity should be sufficent to be able to downsize within a 5-10 mile radius. Other repayment vehicles can be used alternatively or to top up. These can include: BTL property equity surplus, Pension Pots (not being used as income on the application), Equities, Lump Sum Investments, Endownment Policy Part & Part (If loan is 50%+ on Repayment than the C & I term option can be used for the whole of the loan)
Lenders completion feeCan be borrowed and deducted from the advance subject to max LTV
EmploymentMinimum 3 months
Employed in the same line of work with 12 months continuous.
Self EmployedAll self employed cases are assessed on individual merit, however, below are examples which would be considered normally: -
1 years figures/ SA302's/ Accounts is accepted - however, they must meet the below: -
2 years is normally required, although an applicant with 1 year’s accounting information can be considered if the applicant:
Where possible we work off the latest years figures but reserve the right to use a 2 year average
- Has a track record in the trade; or is
- Able to demonstrate guaranteed income within the next accounting period; or
Moved purely from ST to Ltd Co same sole Director
Contract Workers - Min Contract £75,000 - Can then work of Contract income 46 weeks x Day rate