Lloyds extends new build lending

Lloyds extends new build lending

Lloyds Banking Group has announced that from today it has introduced changes to its lending policy on new build properties.

The lender has extended its cap on new build mortgages available now through Halifax from 80% to 85% LTV on all new build house and flat purchases, as well as increasing the maximum LTV available for those buying through a Shared Ownership scheme. A managed panel of builders and brokers will remain for borrowers who wish to apply for a standard 85-95% mortgage.

Customers buying a new house or flat with a Registered Provider or Housing Association through a Shared Ownership scheme are now able to apply for up to 90% LTV (previously 80%).

Douglas Cochrane, Head of Housing Development, Lloyds Banking Group, said: “The new build sector continues to be central to the success of the UK housing market, and helping to provide greater choice and access to mortgage products is fundamental to supporting its longevity.


Through Lloyds Banking Group’s Helping Britain Prosper plan we have committed to lending £10bn to first-time buyers this year, and the changes to our Shared Ownership lending policy will help us support this goal. Providing a broader range of options will help brokers meet more of their customers’ needs, and together with market-leading policy and product support, helps underline the added value of our specialist housing development team.”

Craig Hall, New Build Manager, Legal & General Mortgage Club, added: “These changes announced today by Lloyds Banking Group are a great boost to the new build lending market and welcome news for borrowers. Improvements like this are key to the growth of the sector and also shine the spotlight on Shared Ownership as a realistic alternative option for first-time buyers.  A greater number of lenders willing to lend on Shared Ownership properties adds to the legitimacy of the tenure, and will help to increase the take up, meaning more first-time buyers are able to get on the property ladder in the long-run.”

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Latest Comments

Kelvin Lloyd
Kelvin Lloyd 09 Oct 2017

IT is up, to the Planners. If they will only give permission for bungalows on certain (suitable) sites, they will be built.

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maggie swift
maggie swift 09 Oct 2017

It's just the beginning of the shocking rise.

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maggie swift
maggie swift 09 Oct 2017

I have recently read that the bungalows can provide social housing for elderly residents in London.

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zoe glover
zoe glover 05 Oct 2017

Update! Worst company I have ever dealt with. Undervalued a Cambridge property by over 100k, wont take on any evidence of valuation including a RICS valuation done 3 years ago for the very same value...

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Paul Edwards
Paul Edwards 27 Sep 2017

Its nonsense articles such as this that make it harder to get clients to realise just how difficult the market is out there. When you see Rightmove and there are more 'price reduced' then 'new' most days...

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Tom Allen
Tom Allen 20 Sep 2017

Absolutely agree with you!

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RyanGeo
RyanGeo 18 Sep 2017

A sharp correction would be a less dramatic expression to use. That is already underway in certain sectors in Reading where I practice as Chartered Surveyor

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sean benton
sean benton 01 Sep 2017

Identity theft is a thread for any profession. So,people should stay alarmed. I once take help from a letting agent and came to know that letting agents are taking every precaution to prevent fraudulent...

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Mark N.
Mark N. 30 Aug 2017

We have seen a surge in instructions over August and that should continue into September too.

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Chris
Chris 30 Aug 2017

Unfortunately, all the legislation bears its force on Landlords and ignores, naively, the effect of Rogue Tenants on the ability of landlords to keep houses in repair and offer properties for rent at reasonable...

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Christian Donovan
Christian Donovan 18 Aug 2017

The write-down on house values, combined with the fall in the GBP saddled the fund?s property portfolio with a 1.4% loss in the second quarter. The shocking amount of $240 million.

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Samantha Goodman
Samantha Goodman 11 Aug 2017

Interesting point of view.

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