Feature of the Week

Interest Only Solutions

Our Interest Only Mortgage Range gives your customers the flexibility to choose how they repay their mortgage.

Interest Only criteria highlights

• Maximum 80% LTV pure interest only
• Sale of mortgaged property up to 50% LTV – £250k minimum equity excluding other repayment strategies
• Maximum 85% LTV part and part – 80% interest only using other repayment strategies (not sale of subject property) plus 5% capital and interest
• Second homes – Sale of mortgaged property up to a maximum of 85% LTV overall. With 80% on interest only and an additional 5% on Capital and Interest
• Minimum income of £50k across all applicants
• Affordability worked out on an interest only basis, not on capital and interest.
• Works in conjunction with our enhanced income multiples for your higher earners subject to affordability assessment and product availability

Use our Affordability Calculator to calculate all Interest Only & Part and Part Mortgages

For full details of our Interest Only range and acceptable repayment strategies, please refer to our Mortgage Lending Criteria Guide and Product Guides.

In other news….

With effect from Thursday 6 March 2025, our Standard Variable Rate will be 8.00% for Residential and 8.50% for Buy to Let mortgages.

Joint Borrower, Sole Proprietor solution

With the UK housing market experiencing a 4.8% annual growth in property prices in 2024, reaching a record high of £298,083*, innovative solutions such as Metro Bank’s Joint Borrower, Sole Proprietor mortgage (JBSP) are essential for those looking to enter the property market.

Residential Core Range JBSP highlights

• Spouses and non-relatives accepted as joint borrowers
• Joint borrowers can reside in the subject property
• Up to 95% LTV on houses and flats, purchase only (90% LTV for new build)
• Up to four applicants on the mortgage, with a minimum of one applicant on the property deeds
• Income can be accepted from up to 4 applicants, at full income multiples, subject to affordability
• Maximum age 80 considered (mortgage term based on the oldest applicant at the end of the term)
• Repayment, interest only and part and part options available (maximum LTVs apply)
• Gifted deposits accepted – Gifted Deposit Form to be used

For full details, please refer to our Mortgage Lending Criteria Guide and Product Guides.

* Source: Halifax House Price Index