Maximum Loan

It is possible to borrow up to 90% of the purchase price of your home,  therefore you will need pay a deposit of at least 10%.

The upper amount we will lend is governed by the size of the loan in relation to the value of the property (LTV).

NB. The maximum LTV for mortgages on new build flats/apartments is restricted to 75%, and for new build houses is restricted to 85%.

The maximum you can currently borrow on Interest Only is 75% LTV.

Unless otherwise stated, the minimum amount you can borrow at one of our special introductory rates is £25,001. 

Loan To Value or LTV

The LTV is the amount you borrow on a mortgage as a percentage of the purchase price of the property or the valuation amount, which ever is the lower of the two.

Income requirements

The amount you can borrow is determined by your income and by also taking into account any existing financial commitments you have to ensure your mortgage payments will be affordable.

The income we take into consideration includes your basic salary together with a proportion of other sources of income, such as overtime payments and bonuses, together with certain non-earned income such as child tax credits.  Financial commitments include maintenance payments, hire purchase and other loan payments, outstanding credit card balances and certain other significant regular costs such as nursery and school fees.

To get an indication of how much you can borrow try our Borrowing Calculator or contact one of our branches.

Documents required

Yorkshire Building Society credit scores all applications. In all cases we will need to obtain the following:

• An application form and direct debit mandate, completed and signed.
• If the loan is (employed applicants only):
  • more than 75% of your property (LTV), your P60 and 2 from the previous 5 payslips, or your latest payslip plus 2 of the previous 5 payslips.
  • less than 75% of your property, one from your latest 2 payslips or your latest P60
• Valuation of your property
• Proof of identity and residence. We accept any of these documents.

  
  

  Proof of ID

  • Current signed passport
  • Current EU or UK (full/provisional) photocard driving licence or full UK Driving Licence (old style).
  • Residence permit issued by Home Office to EU National on sight of own Country passport
  • EU member state ID card
  • Armed Forces ID Card
  • HM Revenue & Customs Tax Notification
  • Benefit Book or original notification letter from the Benefits Agency confirming right to benefits
  • For applicants self employed in the construction industry - photographic registration cards (C1S4)
  • Signed Employers photo ID Card
  • Firearms Certificate

  Proof of Residency

  • Presence on the Electoral Roll / Bureau Data
  • Utility Bills (i.e. Gas / Electricity)
  • Bank Statement
  • Building Society Statement
  • Credit Card Statement
  • Inland Revenue Documentation 

Salaried directors

In addition to the above, where you are employed as a salaried director and have a shareholding of 25% or more, we will also need to see the last three years' limited company accounts or two years plus projection if the business has been in existence for less than three years.

Non-Salaried directors

Irrespective of percentage shareholding the last three years company accounts or two years plus projection if the business has been in existence for less than three years.

Self-employed

For Accountants on our recognised qualifications list (see below):

A letter from a recognised accountant confirming finalised turnover, net profit and the applicants share of the net profit for the last three years or two years together with a projection for the current year where the business has been in existence for less than three years.

In all cases the net profit for the last trading year or, if lower, the average for the last 3 years will be taken into consideration.

For accountants not on the recognised list, the following supporting documentation is required:

• Latest SA302 (Tax Calculation Summary) or latest SA310 (Revenue Acknowledgement)
• Last 6 months business bank statements

List of recognised accountants

• Institute of Chartered Accountants (FCA/ACA)
• Association of Chartered Certified Accountants (ACCA/FCCA)
• Chartered Institute of Public Finance Accountants (CIPFA)
• Institute of Company Accountants (ASCA/FSCA)
• Association of Authorised Public Accountants (FAPA/AAPA)
• Association of International Accountants (AIA)
• Institute of Chartered Accountants in Scotland (FCAS/ACAS)
• Institute of Chartered Accountants in Ireland (ICAI)
• Chartered Institute of Management Accountants (CIMA)

Higher Lending Charge

When you take out a mortgage, you agree to repay all of the money that you owe under that mortgage. If you fall behind significantly with your mortgage payments, although we will work with you to help you manage your circumstances and arrears, ultimately we may have to repossess your property and sell it.

Following repossession, when the property is sold it may not achieve a sufficient amount to cover your outstanding mortgage, resulting in a shortfall.

Where we are lending a high proportion of the purchase price or valuation (whichever is the lower), referred to as the Loan to Value (LTV) there is a greater risk of a shortfall and therefore loans like this represent a bigger risk to us. In order to reduce the increased risk to us of these higher LTV loans we may ask you to pay a Higher Lending Charge (HLC). Please note however that even if you pay an HLC you would still remain responsible for repaying all the money you owe under the mortgage including any shortfall.

Do I need to pay an HLC?

If your loan is above 90% LTV the amount of HLC payable by you will be detailed in your Key Facts Illustration.

However, as our maximum LTV varies, we may not currently lend or have certain products available, at or above 90% LTV, therefore please contact us for confirmation of our current LTV limits.

Terms and maximum age

The longest term over which we will arrange a mortgage is normally 30 years.

All loans must be repaid by the oldest borrower's 75th birthday.