Not a member?

What’s New at Principality

Principality (the UK’s 6th largest Building Society, with 95% of its mortgage business coming through the intermediary channel) has announced a wide set of criteria enhancements for brokers:

Affordability & Income

  • Potential homebuyers, including first-time buyers, may now borrow ~20% more on average
  • Minimum income requirement reduced to £30k; minimum loan size reduced to £150k
  • 100% of regular overtime and second job income now considered
  • Universal Credit and Child Benefit accepted at 100%
  • Exclusive FTB LTI up to 5.5x (min £150k loan, employed income only)
  • NHS workers: 5x LTI with enhanced terms; newly qualified professionals: 5.5x LTI

Self-Employed — New Product Range

  • CIS workers (6 months’ payslips), Ltd company directors (1 year’s accounts), and sole traders (1 year’s tax calculations) now catered for
  • Up to 90% LTV, residential purchases only, 2 & 5-year products

Interest Only & Loan Sizes

  • Max LTV increased to 75%; minimum equity requirement removed (excluding downsizing)
  • Maximum loan size increased across all LTVs for residential mortgages

Foreign Nationals

  • UK residency requirement reduced to 2 years; visa time remaining reduced to 12 months
  • Now lending up to 95% LTV; only one applicant needs to meet criteria

Family Support

  • New: Gifted deposits and gifted equity accepted from any family member, including step-family
  • Joint Borrower Sole Proprietor now includes siblings, children and grandchildren, not just parents
  • Up to 4 applicants and all 4 incomes considered; max age increased to 75

New Build

  • Up to 95% LTV on houses, 90% on flats, 75% on BTL
  • Help to Buy equity loan not treated as a commitment; no cap on builder incentives
  • Shared ownership: lend up to 95%/90% LTV on 25–75% share, staircase from 5% increments

Buy-to-Let & Holiday Let

  • Up to 75% LTV; first-time landlords and first-time buyers accepted; no minimum income requirement
  • No limit on storeys for flats; background BTLs not stress-tested
  • Holiday lets: max 2 properties, 60 days’ personal use, seasonal-average loan sizing

Adverse Credit

  • CCJs and defaults accepted up to £500; status 2 accepted within 24 months (secured & unsecured)
  • Soft-footprint search

Get in touch:

📞 Pete Caldicott, Key Account Manager — 07970 746238, or the BDA team on 0330 333 4021
📧 peter.caldicott@principality.co.uk
🌐 principality.co.uk/intermediaries