Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.
Newcastle BS Expands JMSP Mortgage Range with Broader Eligibility
Newcastle for Intermediaries, the intermediary arm of Newcastle Building Society, has relaunched its joint mortgage sole proprietor (JMSP) range with expanded eligibility and new features. The updated product aims to address affordability challenges and the difficulty of raising larger deposits for borrowers.
The revised JMSP range is no longer restricted to close family members. It now allows extended family members and friends to be included on the mortgage. The product permits up to two borrowers, with the property owner living in the home and supported by the income of another borrower who will not own or reside in the property.
The JMSP is available up to 95% loan to value (LTV). Newcastle Building Society has introduced an Affordability Boost option, which allows for enhanced affordability. The product is open to first-time buyers, homemovers, and remortgagors who may have sufficient income but struggle to meet affordability requirements on their own.
There is no maximum age at the end of the mortgage term, including for the non-occupying borrower. The lender will apply flexible underwriting to support a wider range of borrower circumstances. The maximum application age has increased to 78, and the Affordability Boost is available on initial terms longer than five years, enabling larger borrowing for those choosing longer mortgage terms.
For letting agents and inventory clerks, these changes may impact the types of tenants and buyers entering the market, particularly those who previously faced affordability barriers.
Source: Mortgage Solutions