High LTV Mortgage Rollout – Broker-Exclusive Launch and Learnings

In November, we introduced two limited-time 90% loan-to-value (LTV) fixed-rate mortgage products, available exclusively via our broker network. These included both two-year and five-year fixed-rate options, tailored specifically for borrowers with a maximum loan-to-income (LTI) ratio of 5.5.

This launch was strategically timed to support growing demand, particularly from first-time buyers and clients aiming to complete property purchases ahead of the Stamp Duty holiday deadline in March 2021.

As one of the early providers to reintroduce 90% LTV mortgages, we aimed to empower advisers to secure vital funding solutions for their clients. This initiative also served as a pilot program, helping us gather insights into borrower behaviour and adviser demand for high LTV mortgage products.

Key Outcomes and Strategic Insights

The uptake from our broker partners was stronger than anticipated. The high level of interest underscores the need for accessible, high-LTV lending options in a market where affordability remains a key concern.

Our trial period provided valuable data, which we’ve carefully reviewed to refine future product development. From preference trends to application patterns, every insight gained will help shape the next generation of broker-focused mortgage solutions.

We remain committed to evolving our product offering to meet the needs of borrowers and brokers better. Our experience with this launch has reaffirmed the value of high-LTV products and the vital role brokers play in guiding clients through them.

To learn more about how we support advisers with niche lending options, visit our Specialist Mortgage Network for Advisers.

Mortgage Market Insights: Trends, Demand and Buyer Behaviour

During 2020, we saw consistently strong engagement from advisers and clients across the UK mortgage market. Broker feedback highlighted the reliability and appeal of our mortgage product range, with demand staying high despite a turbulent year. This confirms that trusted, well-supported mortgage networks remained critical to broker success, especially for those navigating an uncertain lending landscape.

Regional Market Performance

Across the UK, business volumes were extreme in northern England, Wales, and Scotland, where buyer activity outpaced pre-pandemic expectations. In contrast, mortgage activity in London and the South East was more subdued, likely reflecting affordability pressures and buyer hesitation in high-value areas.

For regional brokers, the right mortgage network provided crucial access to local lender panels and market-specific guidance.

Surge in High-Quality New-Build Applications

A standout trend in 2020 was the surge in mortgage applications for new-build properties. Not only did volumes increase, but the quality of these cases was consistently high, well-packaged, compliant, and processed with minimal delay. This emphasised the role of experienced advisers and networks in guiding clients through Help to Buy and developer-led sales efficiently.

Focus on Purchase Business and Strong Conversion Rates

Despite attractive remortgage deals being available, 100% of cases submitted during this period were purchase transactions. This shift reflected a strong appetite for home ownership in 2020, particularly outside urban centres.

Our application-to-offer conversion rates reached their highest levels, indicating that brokers working within structured compliance frameworks, often via FCA-authorised mortgage networks, were able to process cases quickly and accurately.

Product Choice: Fixed-Rate Mortgages Lead the Way

When it came to product selection, 75% of applicants opted for two-year fixed rate mortgages, favouring short-term certainty. Meanwhile, 25% selected five-year fixed deals for added stability during an uncertain economic period. This mix demonstrates the client’s desire for predictability and highlights opportunities for advisers to cross-sell protection products within fixed terms.

First-Time Buyers Drive the Market

First-time buyers dominated the mortgage market in 2020, accounting for 77% of all applications. In comparison, home movers accounted for just 23%. This surge reflected pent-up demand post-lockdown, government support schemes, and low-deposit mortgage availability.

Advisers supported by a Mortgage and Protection Network were well positioned to help first-time buyers understand both borrowing and insurance needs, thereby adding long-term value through cross-service advice.

Exploring High LTV Mortgages | What’s Ahead for Brokers?

In 2020, the mortgage landscape was rapidly evolving, and so were the expectations of clients and brokers alike. We recognise the growing demand among experienced advisers for high Loan-to-Value (LTV) mortgage solutions, particularly as borrowers look to access the property ladder with smaller deposits.

Following a successful trial of 90% LTV mortgage products last month, we’re preparing for a full re-entry into this market on a long-term basis. These insights are now shaping our refined approach to high LTV lending and criteria.

Current Offering: 85% LTV with Competitive Income Multiples

At present, we continue to support brokers with 85% LTV mortgage products, offering borrowing of up to 5.5 times income. This is part of our ongoing effort to deliver flexible and accessible mortgage lending while maintaining high service standards.

Our underwriting teams are actively reviewing our lending criteria in light of shifting market conditions. This includes managing application volumes and ensuring strong turnaround times for both brokers and clients.

Recommitting to the 90% LTV Market

We understand that 90% LTV mortgages are crucial for many first-time buyers and home movers. That’s why we’re investing in a sustainable re-entry strategy for this segment. Our flexible underwriting model focuses on each applicant’s individual financial profile, empowering brokers to secure tailored solutions for more complex cases.

Supporting Brokers Through Changing Conditions

We’re committed to helping advisers navigate an uncertain mortgage market with the confidence and clarity they need. Our adaptable lending strategy ensures that brokers continue to:

• Offer higher LTV solutions to meet borrower demand

• Receive expert case-by-case underwriting support

• Access a lender responsive to economic fluctuations

To explore broader benefits for your business, visit Why Join a Mortgage Network and learn how a strong network partner enhances your offering across both mortgage and protection advice.

Moving Forward Together

As we refine our high LTV product range, our goal remains clear: to equip brokers with smarter lending tools, transparent criteria, and long-term support.

Stay connected as we expand our mortgage network proposition and re-enter the 90% LTV market with solutions built for advisers and clients in a 2020 economy.