Unlock Greater Borrowing Power with over 6 Times Income Mortgage

For many, the dream of homeownership in today’s market has faced one key challenge – income multiples. The 6 times income mortgage is now changing that landscape and is reshaping how higher earners and first-time buyers can realise their property ambitions.

Recent updates to lending criteria by the Financial Conduct Authority (FCA) have paved the way for more flexible and ambitious borrowing opportunities.

See below a recent update allowing borrowers to obtain 6.5 times income for a mortgage.

Understand the recent lending shift

Until recently, the majority of lenders capped borrowing at around 4.5 to 5.5 times a borrower’s income. In an effort to stimulate the market and enable greater financial freedom, the FCA has now relaxed restrictions and encouraged lenders to exceed those limits, provided affordability remains sound. This shift allows lenders more discretion to consider high income professionals who have proven earning stability and lower risk profiles.

Flexible lenders leading the way

Several building societies and specialist lenders have begun embracing the 6 times income model. These schemes often cater to first-time buyers or applicants with high and consistent earnings, allowing lenders to adopt a more personalised approach. Building societies in particular have been pioneering this flexibility, offering tailored options that traditional high street banks may not yet provide.

The HSBC 6.5 times income mortgage

Standing out amongst the crowd, HSBC has launched an impressive 6.5 times income multiple mortgage — one of the most generous offerings currently available. This product not only provides a larger borrowing capacity, but also pairs it with highly competitive interest rates.

Many lenders offering high income multiple mortgages previously imposed premium rates, but HSBC’s solution challenges that norm by combining accessibility with affordability.

Who qualifies for the HSBC Premier Mortgage?

Eligibility is key. This opportunity is available to HSBC Premier clients – individuals who meet one or more of the following criteria:

• Annual income of at least £100,000 paid into an HSBC Premier account
• Savings or investments of at least £100,000 held with HSBC in the UK
• Existing Premier status with HSBC internationally

For eligible clients seeking greater flexibility and enhanced borrowing power, Private Finance can facilitate access to this product. As a trusted intermediary, we’ll manage the account opening forms as part of the mortgage process, ensuring a smooth and efficient experience from start to finish.

Empowering International and Premier Applicants

Premier International clients are also eligible to benefit from the 6.5 times income multiple, even if they are not UK residents. This global approach to lending reflects HSBC’s commitment to supporting high-calibre professionals wherever their success has taken them.

How could this apply to me?

For some borrowers, the recent increase in income multiples could be the key to unlocking homes that were previously just out of reach. With lending caps now stretching beyond previous limits, individuals with strong earnings and financial stability could unlock far greater flexibility.

Real-life example:

One of our clients recently offered £1.15 million on a property valued at £1.2 million. Under previous lending criteria, their maximum borrowing capacity was £616,000, leaving a gap that made the purchase unviable.

Following the introduction of 6.5 times plus income multiples, however, their borrowing potential rose to £725,000 — this, with their deposit, comfortably exceeded the full purchase price.

The key takeaway? Enhanced income multiples can provide crucial flexibility and confidence in a competitive property market. But it’s equally important to remember that you don’t always need to borrow the maximum available — the availability of greater borrowing potential allows borrowers with low outgoings to control their budgets with greater flexibility.

If you would like to find out more, contact us on 0800 980 8777 or email info@privatefinance.co.uk

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