NatWest returning to interest-only mortgage market

by Aaron Strutt

Sep 17 2015

NatWest for Intermediaries has confirmed it will re-enter the higher end of the interest-only mortgage market after a three-year absence.

Borrowers will require a single gross annual income of at least £100,000, excluding any discretionary bonuses, to qualify for NatWest’s interest-only mortgages.

They will also need a 25% deposit and an acceptable strategy to repay the mortgage.  

NatWest’s head of intermediary mortgages Graham Felstead says: “Having undertaken a thorough review of the market, we believe we can help many customers who meet specific conditions with their homeownership needs.”

There will be a maximum term of up to 35 years for mortgages up to £500,000 and this will be reduced to 30 years if the loan is more than £500,000.

NatWest pulled out of the interest-only market on the same day as the Coventry Building Society back in 2012. Both lenders had said the withdrawal was due to a lack of demand. 

For help to secure an interest-only mortgage, call Trinity on 020 7016 0790.