High street mortgage lenders are increasingly targeting wealthier clients traditionally used to dealing with the private banks.
Many of the mainstream banks and building societies offer £1,000,000+ mortgages as standard, while some are providing up to £10,000,000.
Barclays recently increased its maximum loan from £5,000,000 to £10,000,000 and NatWest for Intermediaries offers its lowest two-year fixed rate for mortgages up to £10,000,000.
Both lenders offer interest-only, so providing clients have sufficient equity in their property, it could be possible to pay under £10,000 each month to secure £10,000,000. This reduces to £4,958 on a £5,000,000 mortgage. Even £1,000,000 is £992 on interest-only through NatWest.
Aaron Strutt, product director at Trinity Financial, says: “If you are looking for a large mortgage loan and you approach a private bank, there is a good chance you will have to provide assets for them to manage or pay a percent based arrangement fee. This is unlikely to happen with a high street lender.
“Providing you have a sufficient income and the property values up, it is possible to secure rates at just over 1% for mortgages well over £1,000,000.”
Maximum loan sizes
|Accord Mortgages: £3,000,000+|
|Bank of China: £5,000,000|
|Bank of Ireland: £1,500,000|
|Clydesdale Bank: £1,500,000+|
|Coventry Building Society: £1,000,000|
|Family Building Society: £1,500,000+|
|Leeds Building Society: £1,250,000+|
|Metro Bank: £1,500,000+|
|Nationwide Building Society: £2,000,000+|
|Newcastle Building Society: £1,000,000+|
|Skipton Building Society: £1,000,000+|
|Tesco Bank: £1,000,000|
|TSB Bank: £5,000,000+|
|Virgin Money: £1,000,000|
+ Many of the lenders do not state the actual maximum loan size and they can be increased by negotiation.
To secure a £1,000,000+ mortgage call Trinity Financial on 020 7016 0790.