- Hodge is now allowing borrowers to lend up to 6x income, subject to a minimum income of £40k
- Reducing rates across select products by up to 0.22%
- Also offering new lower product fees to support borrowers
Hodge Bank is announcing rate reductions on selected Resi Retire and RIO products, as well as enhancing its loan-to-income (LTI) criteria.
Hodge has updated its LTI calculations across the Resi, Resi Retirement and RIO ranges, allowing borrowers with incomes above £40,000 to access increased borrowing potential and the ability to lend up to six times their income.
These changes are set to improve affordability, widen access to borrowing, and support customers lending up to and into retirement.
Emma Graham, Business Development Director at Hodge Bank, says:
“This update enables us to support more customers as they plan their finances. It also expands opportunities for older first-time and second-time buyers, as well as those releasing equity to meet a wide range of needs.”
Hodge has also reduced rates by up to 0.22% across its Resi Retire range and by up to 0.15% across its RIO range. Within its Resi Retirement range, 2-year fixed rates have fallen by up to 0.12%, while 5-year fixed rates have reduced by up to 0.22% at 60% and 75% LTV.
The lender has reintroduced its 60% LTV £995 fee products, offering a lower-fee option for customers seeking greater flexibility.
Hodge’s announcement of increased borrowing flexibility and more competitive pricing comes at a time when many customers are navigating changing financial needs throughout their lives.
The new LTI allowances help those with solid incomes access more borrowing power, while reduced rates offer meaningful support for customers looking to progress with their homeownership plans or to release equity to fund future goals.
For intermediaries, the changes mean a broader pool of customers can be supported through Hodge’s personalised underwriting, which considers individual circumstances to help deliver suitable, sustainable outcomes. These changes follow a number of recent criteria enhancements including lending up to 95% LTV and Interest Only up to 80% LTV.