Can I use Separate Legal Representation on a High Value Mortgage case?
Separate Legal Representation services are capped at a maximum purchase price of £5,000,000 for properties in England, Wales or Scotland or a maximum purchase price of £1,000,000 for properties in Northern Ireland.
Can we ring-fence school fees / nursery costs?
No, these costs must be included in expenditure for the affordability assessment.
Do you accept Restricted Stock Units (RSU’s) / deferred bonuses?
At present, this is not a source of income that we can consider.
Do you accept sale of current property as a repayment plan?
No, however we do accept future savings / ad-hoc contributions as a repayment plan. We will assess the lending on a Capital Repayment basis to demonstrate affordability, and will allow ad-hoc capital as a repayment plan up to a maximum of 50% LTV. Any borrowing above the 50% LTV will require an additional repayment plan.
Do you accept future rental income on a Let to buy property?
Yes, if this is the customer’s current residential property, as long as they can provide an ARLA letter and a Buy to let mortgage offer.
Can I get an accurate affordability figure for foreign currency applications?
Yes, you will need to email the highvaluemortgageservice@hsbc.com inbox and we will complete an internal affordability check for you.
Can we work on one years’ self-employed accounts?
Yes, we will take the latest years income and average this over the two year period. For example, if the customer has evidenced a profit of £100,000, we will be able to use £50,000 income in the affordability assessment.
Do you use Trust income?
Yes, subject to this being evidenced with 3 years’ Tax Returns, along with an explanation of how the Trust generates its income.
Can I use a combination of Interest Only repayment plans?
Yes, please see Repayment plan document for details.
Do you have a maximum acreage on properties?
We will consider lending on properties with land over 1 acre providing the property is not subject to any agricultural restrictions / ties, and the applicants undertake that the land is for personal use by them or a related person only, and will not be used for any agricultural or business purposes. The bank will be guided by the type of valuation received and any additional guidance from the valuer.