Mortgage Lending Criteria vary from lender to lender and they change fairly regularly.
Set by the mortgage lender’s underwriters, the criteria are decided upon as part of the lender’s risk management of their entire ‘lending book’s’ portfolio.
Some lenders will be prepared to accept what they consider to be riskier mortgage terms in return for a higher return on the loan. Others are keen to keep risk lower and therefore lend more ‘vanilla’ debt to less risky borrowers. But it’s not just the profile of the borrower that will be part of the lender’s lending criteria.
In fact, that is just a small part of the underwriting process. In addition, lenders will have policies with regard to;
- Maximum Loan Value
- Loan to Value %
- Number of applicants that may apply on any one loan
- Minimum deposit amount
- Personal Circumstances (i.e. married or single, employed or self-employed, past employment history, adverse credit history, etc)
- Address history (including BFPO addresses)
- Policy with regard to shared ownership
- Remortgage policy
- Early repayment policy & fees
- Mortgage Type (i.e capital repayment or interest only, etc)
- Valuation Charges and Admin Fees
- Acceptable Property Types (e.g. Thatched houses, flats over shops, multi-storey flats over say 5 stories, etc)
- Acceptable Tenure (i.e long leases / leases under 50 years, etc)
- Supporting documentation and affordability criteria
- Stress Test Criteria (i.e changes due to loss of income or increased interest rates)
Nationality & Immigration status
Each mortgage lender will have different terms and in most cases these terms are non-negotiable. The bad news is that finding the right lender to lend you a mortgage can be very time consuming. The good news is, Mortgage Required can offer you advice and mortgage options based on lender’s criteria and your own personal circumstances. It’s what we do.
One lender’s ‘no thanks’ can be another lender’s ‘yes please’! Why not contact us to see just how we can help you through the process?
For more information or to speak to a mortgage adviser, contact us on 01628 507477.
Related articles:
Download our Free First Time Buyers Guide
Recent posts
Housing Secretary Angela Rayner has announced a new measure to protect leaseholders in England and Wales from high fees and poorly regulated property management companies.
Saturday 26th September, Andy Burnham announced a new equity loan scheme called “Your First Home”. The scheme, which will be confirmed at next month’s budget, is aimed at first-time buyers looking to purchase a new-build property from a developer signed up to the scheme.
Losing your job or finding yourself ‘between jobs’ is, unsurprisingly, a stressful place to be. Keeping a cool head and taking action is important.
Best UK Mortgage Rates this Week
8 days ago
Here are the lowest fixed mortgage rates of the week, available to first-time buyers, home movers, buy-to-let, and those remortgaging.
Call us for more information: 01628 507477 or email: team@mortgagerequired.com.
Flats 40% cheaper to buy than houses
12 days ago
This price gap between the cost of houses and flats is the biggest it has ever been. Houses are now costing 1.7 times more than a flat, which is 0.4 times higher than 10 years ago
Take a look at our list of houses vs. flats per area.
Are mortgage rates set to increase?
22 days ago
We have seen several lenders increase their mortgage rates over the last couple of weeks. This suggests mortgage rates are likely to rise.
Although nothing is set in stone, lender repricing, rising swap rates, and continued economic uncertainty suggest borrowers should prepare for higher mortgage costs.
AI-altered images put off over half of buyers
24 Aug 2026
According to data from House Buyer Bureau, where over 900 UK homebuyers were surveyed, 54% of people said that they immediately ruled out digitally enhanced property listings.
April Mortgages offer 7x Income Mortgage
13 Aug 2026
April Mortgages - only accessed via a mortgage broker - offers first-time buyers, renters, and home-movers the option to borrow up to 7 times their income on its longer-term mortgages.
More information
Trusted by
