Nationwide cuts interest-only LTV to 50%
Nationwide Building Society is slashing its interest-only LTV for residential lending from 75% to 50%.
The society says the change is in response to changes made by other lenders and takes effect tomorrow.
Martyn Dyson, head of mortgages at Nationwide, says: “A number of major lenders have recently restricted their criteria for interest-only mortgages and Nationwide needs to be able to manage application levels in a prudent and sustainable manner.
“The group is therefore amending its policy to a maximum of 50% LTV.”
Nationwide lowered its LTV for interest-only to 75% in April 2011, it previously offered 85% LTV.