Nationwide has expanded access to higher loan-to-income mortgages allowing home movers and remortgaging customers to borrow up to six times their income as it looks to ease affordability pressures across the housing market.
The move follows strong demand for higher-income multiple borrowing among first-time buyers.
In 2025, the building society recorded a 57% increase in first-time buyer mortgages taken at or above five times income compared with 2024, alongside a more than five-fold rise in loans at or above 5.5 times income.
Under the updated criteria, Nationwide will now offer lending of up to six times income to both new and existing customers who are moving home or remortgaging, at loan-to-value ratios of up to 95%.
REGULATORY CHANGES
The building society said the expansion has been made possible by regulatory changes introduced last year, including clarification of stress rate rules and a review of loan-to-income flow limits.
Henry Jordan, Group Director of Mortgages at Nationwide, says: “The government and regulatory changes last year have been a game changer for first-time buyers.
“Alongside our Helping Hand expansion to six times income in September 2024, they’ve enabled greater support for those who need it most.
“Over the past year, we’ve seen a five-fold increase in the number of first-time buyers borrowing between 5.5 and six times income.
“Our latest announcement means we will provide similar support to those looking to move home or remortgage to Nationwide and shows our commitment to all parts of the market.”
POSITIVE STEP
Mary-Lou Press, President of NAEA Propertymark, says: “Nationwide’s decision to extend higher loan-to-income lending to home movers and remortgagers is a positive step that will help support mobility within the housing market and give borrowers greater flexibility at a time when affordability remains stretched.
“The expansion builds on recent regulatory changes and reflects the reality faced by many buyers, particularly those trying to move up the ladder or refinance in a higher-rate environment.
“Enabling responsible access to higher-income multiples can help prevent households from becoming trapped in unsuitable homes.”
BALANCED POLICY
But she adds: “However, increased lending capacity alone will not solve the UK’s housing challenges. As well as this, boosting housing supply must go hand-in-hand with ensuring the right homes are being built in the right places, improving affordability, and protecting buyers from unnecessary long-term financial risk.
“A functioning housing market depends on balanced policy across lending, planning, and supply.”
