Barclays loosens interest-only criteria

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Barclays has loosened its interest-only requirements by expanding its part-and-part lending criteria where the sale of the property is used as the repayment vehicle.

Previously, where sale of property was used as the repayment vehicle, borrowers could have a loan to a maximum of 50 per cent LTV.

Customers who meet the minimum income criteria are now able to borrow up to 75 per cent LTV, with a maximum of 50 per cent LTV on an interest-only basis.

Sole applicants must have a minimum gross annual income of at least £75,000. For joint applications, one applicant must have a gross income of at least £75,000 or a joint income of at least £100,000.

Customer must also have £300,000 of equity in the property, after the interest-only element is taken into account.