Last year we introduced our five point Brexit support plan, designed to protect the interests of first time buyers and regular savers. As part of this plan, we’re making at least £10bn a year available to lend to first time buyers, enabling 100,000 people to become home owners for the first time.
Thanks to the significant role you play as an intermediary, we’ve helped a record number of people to buy their first home*. We’re continuing our commitment to support you and your clients by providing mortgages that offer cashback, a free standard valuation and £0 booking fees. And to help minimise costs where borrowers are most stretched, we offer a range of products with a £0 product fee. We also lend on a range of affordable housing schemes including Right to Buy, Shared Ownership and Help to Buy Equity Loan Schemes in England, Wales and Scotland.
Over the last year, we’ve made some changes to our policy, criteria and systems to further support you and your clients. These include:
Family Deposit Mortgages
Our range of Family Deposit Mortgages has been designed for those looking to help their family members buy a home of their own, or move up the property ladder.
Your clients can access preferential rates if they’re remortgaging with capital raising, used for the sole purpose of helping a family member who is also taking a Nationwide mortgage. You can find out more at nationwide-intermediary.co.uk/fdm
Fixed Term Contracts
If you have a client employed on a fixed term contract for a minimum of 12 months, you can submit the application as ‘Employed on a Fixed Term Contract’. We'll use the income as stated on the applicant’s latest contract. Or if your client has been employed for more than two years as a contractor, they can be treated as either self-employed or employed using the latest contract.
Zero Hours Contracts, Bank Nursing and Supply Teaching
Income from zero hour contracts, bank nursing and supply teaching can also be used in the affordability calculation, where it’s keyed as a secondary source of income.
Disability Living Allowance or Personal Independence Payment benefit
We’re now able to accept Disability Living Allowance or Personal Independence Payment benefit income regardless of payment time remaining. And we’ve simplified our parental leave income proof requirements
Genuine Bargain Price
Where a property is knowingly being purchased by your client below the market value, we can consider a number of acceptable scenarios, including applicants buying from a relative, an employee buying from their employer or a private tenant buying from their landlord.
Improvements to NFI Online and NFI MTE
We’ve moved to using multi-credit bureaux, which means we’re able to provide a more informed Decision in Principle (DIP) for your client. Other key improvements mean we’ve made it easier to find your clients’ addresses and in some cases the introduction of automated income checks has removed the need to provide income proofs, leading to reduced application to offer timescales. We’ll also let you know at DIP stage if a valuation is needed.
Supporting borrowers up to and into retirement
When making an application we can accept borrowers with an intended retirement age of up to 70, instead of using state retirement age as a maximum. This change means your clients can keep their loans until age 75.
For more information about our first time buyer range, visit nationwide-intermediary.co.uk/ftb.
Or if you’ve got a question you can contact us using our online instant messaging service, Broker Chat, by visiting nationwide-intermediary.co.uk/brokerchat. We’re open Monday to Friday until 6pm.*Source: Nationwide Building Society – Interim Results 2016/17