From tomorrow, Thursday 31 May, your remortgage clients will be able to capital raise up to 90% LTV for the sole purpose of paying off a Help to Buy equity loan in full.
This helps your clients who are reaching their 5 year Help to Buy anniversary, as they'll soon have to start paying interest on the loan, and puts them on the road to full home ownership.
NFI Online keying of applications - What's changing?
- If your clients are looking to borrow between 80% and 90% LTV, we'll now ask you to select the ownership type as 'Standard' within the Loan Requirements screen. Where the question asks 'Does this application relate to a Nationwide or External Scheme?' You'll need to select 'Help to Buy'.
- Following this, you'll need to select 'Pay off second charge' within the Additional Borrowing screen, which will enable you to access the products.
- Then key both of the existing loans (i.e. the mortgage with another lender and the Help to Buy equity loan) with a £0 balance. This will instruct the Conveyancer to ensure that both loans are redeemed.
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