Bank goes ‘fee free’ with its mortgage applications

Friday 22 January 2021

Skipton International has announced a raft of changes to its mortgage lending criteria.

The Guernsey bank has temporarily removed its mortgage application fee and has also changed its affordability criteria, meaning it could potentially lend customers more.

The fee free scheme - which closes at the end of February - applies to all new Guernsey residential, buy-to-let and re-mortgage applications. A property valuation and legal fees will still be required to be paid for by the applicant.

The local housing market has performed strongly throughout the pandemic, with house prices continuing to rise. This has led to Skipton returning to its pre Covid-19 affordability calculations, which may give applicants access to more funding.

Additionally, Skipton is also reintroducing its ‘100% Next Generation Mortgage’, which allows parents or grandparents to assist the younger members of their families in getting their foot on the local housing ladder.

“The 100% Next Generation Mortgage provides a unique product for first time buyers to get onto the property ladder and will allow many more young Guernsey families to take that first step into owning their own property," said Business Development Manager Roger Hughes.

"It is an effective mortgage package where we will lend up to 100% of the purchase price, while taking a 20% guarantee in the form of a property bond.

“We hope the fee free saving and changes our affordability criteria will help those looking to purchase property in Guernsey."