Santander UK has announced that, from tomorrow, customers looking to borrow more when remortgaging to the lender will be able to access funds up to 90% LTV.
Previously, remortgage customers who were looking to capital raise while remortgaging were limited to a maximum of 85% LTV.
Additional borrowing can be taken out for a range of reasons, including to complete home improvements or to increase a customer’s proportion of a shared ownership property.
These latest changes mean that homeowners now have the opportunity to access thousands more to achieve their plans.
For example, a customer remortgaging to Santander with a £300,000 property seeking additional borrowing for home improvements could now borrow up to £270,000, up from a previous limit of £255,000.
Remortgaging with capital raising for debt consolidation purposes will continue to be limited to 85% LTV.
Graham Sellar, head of Santander for Intermediaries, said: "There are a range of reasons customers look to increase their mortgage borrowing - whether choosing to invest in their current home, rather than entering the laborious home moving process and pay stamp duty costs, or gifting funds to help a family member get their foot on the property ladder.
"Our upcoming changes can help homeowners access more money to achieve their plans, and as a responsible lender we would encourage anyone looking to borrow more on their mortgage, for any reason, to seek independent advice to understand the implications and costs involved.”
