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Right to Buy Mortgage Products
Our mortgages
At Pepper Money, we’re here to support your customers in taking the first steps to home ownership. We understand that not all customers who have the right to buy will be suited to computerised, credit score-based lending. So, if your customer is ready to take the next step from renting their council property, our more sympathetic criteria and individual approach to underwriting could be the answer. We’re here for your customers – to help them succeed and purchase their homes.
Our product range is structured around your customer’s most recent CCJ or Default. Here’s how your next Right to Buy application could be better with Pepper
Helping the self-employed
One year’s self-employed trading or most recent year's accounts accepted
No decisions based on credit scores
Suitable for your customers who may miss credit scoring thresholds
Boost Affordability
Multiple income streams and 100% of monthly bonuses, overtime & commission accepted.
Earned income & max term
Earned income is accepted to the age of 75 and we can lend on a maximum mortgage term of 35 years
No debt-to-income ratio
Unsecured credit never affects product tier
No value limits on CCJs & defaults
No value limit on CCJs and defaults; no need for them to be satisfied
We’ve made finding the right product for your customer even easier. You can can either view the product tables below or use our product finder to help narrow down your search.
Right to Buy Mortgage Products Rates & Criteria
- For Intermediary use only
- September 2024
- LMR = 5.86% (As of 13th August 2024)
- For Intermediary use only
- September 2024
- LMR = 5.86% (As of 13th August 2024)
Pepper Right to Buy
Product
Term
LTV
Initial Rate
Comp Fee
Reversion Rates (LMR +)
ERC
- 5 Years
- 75%
- 6.19%
- £0
- 3.90%
- 4%,4%,3%,3%,2%
Credit Criteria | |
---|---|
CCJs: | 0 registered in 48 months |
Default: | 0 registered in 48 months |
CCJ/Default Value: | No limit |
Secured Missed Payments: | 0 in 48 months (No arrears balance in last 6 months) |
Bankruptcy/IVA: | Discharged > 6 years ago |
Reposessions: | None in last 6 years |
Debt Management Plan: | Considered if satisfied over 12 months ago |
Product
Term
LTV
Initial Rate
Comp Fee
Reversion Rates (LMR +)
ERC
- 5 Years
- 75%
- 6.49%
- £0
- 3.90%
- 4%,4%,3%,3%,2%
Credit Criteria | |
---|---|
CCJs: | 0 registered in 36 months |
Default: | 0 registered in 36 months |
CCJ/Default Value: | No limit |
Secured Missed Payments: | 0 in 36 months (No arrears balance in last 6 months) |
Bankruptcy/IVA: | Discharged > 6 years ago |
Reposessions: | None in last 6 years |
Debt Management Plan: | Considered if satisfied over 12 months ago |
Product
Term
LTV
Initial Rate
Comp Fee
Reversion Rates (LMR +)
ERC
- 5 Years
- 75%
- 6.69%
- £0
- 3.90%
- 4%,4%,3%,3%,2%
Credit Criteria | |
---|---|
CCJs: | 0 registered in 24 months |
Default: | 0 registered in 24 months |
CCJ/Default Value: | No limit |
Secured Missed Payments: | 0 in 24 months (No arrears balance in last 6 months) |
Bankruptcy/IVA: | Discharged > 6 years ago |
Reposessions: | None in last 6 years |
Debt Management Plan: | Considered if satisfied over 12 months ago |
Applicant One
Applicant Two
Applicant One
Applicant Two
Welcome
Our Right to Buy Affordability Calculator will help to give you an indication of how much we could lend your client(s). Simply tell us their basic information to get a maximum loan amount or if you know their commitments and expenditure include that to get a more comprehensive result. Either way it's quick and simple to use.
For every calculation we’ll show you the maximum amount your client(s) could borrow on a 5 year product. Simply select the tier they fit - for more information about our tiers please view our Right to Buy Product page.
If you have any questions, pick up the phone and give our sales team a call on 03333 701 101, Option 1, Monday to Friday between 9am and 5.00pm.
We'll use the details you enter on this screen to automatically calculate the loan size required, but please bear in mind this does not take into account any fees. If your client(s) are looking to raise capital or consolidate debts please increase the purchase price for purchases or the loan required value for a remortgage to reflect this. If they don't currently have a mortgage but already own the property and are looking to refinance, please select Remortgage. We allow capital raising for most legal purposes.
We have a maximum loan size of £500,000 for cases up to 100% LSV and 75% LTV on our Right to Buy range.
Select the tier your client(s) falls under. Our tiers are named after how long since their last CCJ or Default was registered. For example, if the last CCJ or Default was registered over 6 months ago but less than 12 months ago, they'd be suitable for our Pepper 6 tier.
You'll also need to consider mortgage, secured and unsecured arrears when selecting a product tier. So, if you're unsure which product to select, visit our Right to Buy Products page to find out more.
We'll use the rest of the information to pick the appropriate product details for the calculation.
Income
We need the total income from your client(s) to be a minimum of £18,000.
All income must be annualised.
For information on allowable income please review our Policy on Income document. Please note applications where income is made up primarily of benefits and maintenance are unacceptable.
*Please enter values to the nearest pound
** Please only input 50% of income identified as quarterly or annual bonus payment in this field. 100% can be used for monthly bonus payment
***Allowable income includes Child Benefit; Child Tax Credits; Working Tax Credits; Pension Credit; and Pension (War Disablement)
Commitments
For Credit or Store Card and Overdrafts please provide the full outstanding balance. Otherwise, please provide the monthly commitment for each of these categories.
If your client(s) intends to clear these balances before completion you can leave these blank.
*Please enter values to the nearest pound
Expenditure
This is the last screen before we're able to tell you the final result.
Please provide a monthly figure for each of these categories.
*Please enter values to the nearest pound
Pepper 24
For clients who haven't had a CCJ or default in the last 24 months.
0 in 24 months
0 in 24 months (No arrears balance in last 6 months)
Fixed term - None in the last 6 months
Revolving credit - Missed payments considered
We will ignore 2 individual defaults (per application) up to and including £200 each where these defaults relate to utilities, communications or mail order providers
Pepper 36
For clients who haven't had a CCJ or default in the last 36 months.
0 in 36 months
0 in 36 months (No arrears balance in last 6 months)
Fixed term - None in the last 6 months
Revolving credit - Missed payments considered
Pepper 48
For clients who haven't had a CCJ or default in the last 48 months.
0 in 48 months
0 in 48 months (No arrears balance in last 6 months)
Fixed term - None in the last 6 months
Revolving credit - Missed payments considered
Monthly secured and unsecured commitments
To get a quick assessment of the maximum we could lend, enter an estimate of your client's monthly secured and unsecured commitments. Please include the total monthly figure for; mortgage or secured loans, unsecured loans, credit or store cards, overdrafts, school fees, maintenance payments and student loans.
Please only include commitments that will remain after completion i.e. if consolidating debts don’t include them in this section. Also, please ensure for joint applications that you only include joint commitments once. If they don't have any commitments, you can leave this figure blank.
*Please enter values to the nearest pound
Important notice
These results are indicative and are meant to be used as a guide only. Should you wish to submit a DIP, it'll be subject to our full lending criteria, a credit check and an underwriter review which could result in a different value.
Please note by changing the loan amount figure you may change the loan to value. This may change the interest rate charged. If you're going to change any details we strongly recommend you start a new calculation to ensure it is as accurate as possible.
If you'd like to submit this, or any other case, you'll need to have registered with us. it's a quick and simple process and shouldn't take more than 5 minutes.
If you've already registered, please Login and complete our online application form.
Unfortunately, due to your LTV, we do not have a suitable product for you
Final results
We’re currently reviewing all applications to ensure the income is sustainable in current market conditions. Based on the information provided please find details below on what your client(s) could borrow with us.
Indicative maximum available subject to a DIP | |
---|---|
2 Year Fixed: | £150,000.00 |
30 Month Fixed: | £175,000.00 |
5 Year Fixed: | £200,000.00 |
Basic Information | |||
---|---|---|---|
Number of Applicants: | Number of Children: | ||
Property Full Market Value: | Discounted Purchase Price: | ||
Required loan amount: | Repayment Type: | ||
Term: | Years | Product: |
Income Applicant One | Income Applicant Two | ||
---|---|---|---|
Primary Annual Income | Primary Annual Income | ||
Secondary Annual Income | Secondary Annual Income | ||
Annual Overtime | Annual Overtime | ||
Annual Bonus or Commission | Annual Bonus or Commission | ||
Car Allowance | Car Allowance | ||
Maintenance Income (calculated at 50%) | Maintenance Income (calculated at 50%) | ||
Rental Income (calculated at 50%) | Rental Income (calculated at 50%) | ||
Allowable Income | Allowable Income | ||
Total | Total |
Commitments Applicant One | Commitments Applicant Two | ||
---|---|---|---|
Mortgages or secured loans | Mortgages or secured loans | ||
Unsecured loans or hire purchase | Unsecured loans or hire purchase | ||
Credit or store cards Balance | Credit or store cards Balance | ||
Overdraft arrangements Balance | Overdraft arrangements Balance | ||
School fees | School fees | ||
Maintenance | Maintenance | ||
Student loans | Student loans | ||
Other | Other | ||
Total monthly commitments | Total monthly commitments |
Expenditure | |
---|---|
Housekeeping | |
Utilities | |
Telephone | |
Council tax | |
Buildings insurance | |
Ground rent | |
Leasehold service charges | |
Essential travel | |
Clothing | |
Personal goods | |
Household goods | |
Basic recreation | |
Total |
Important notice
Based on the information entered, an underwriter will carry out a full review at Decision in Principle. Please complete the DIP to confirm the maximum loan amount available.
These results are indicative and are meant to be used as a guide only. Should you wish to submit a DIP, it'll be subject to our full lending criteria, a credit check and an underwriter review which could result in a different value.
Please note by changing the loan amount figure you may change the loan to value. This may change the interest rate charged. If you're going to change any details we strongly recommend you start a new calculation to ensure it is as accurate as possible.
Before submitting business to us, you’ll need to register with us. It’s a quick and simple process and shouldn’t take more than 5 minutes.”
If you've already registered, please Login and complete our online application form.
If you have any questions, call our team on 03333 701 101 option 1, Monday to Friday between 9am and 5pm.
Fill in your details below and we will email the results to you
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Pepper Right to Buy Criteria
Key Criteria
Applicants | Property Value | ||
---|---|---|---|
Minimum Age | 21 years | Minimum | £70,000 |
Maximum Age | 80 years at end of term. The term cannot extend beyond applicants stated retirement age. Maximum allowable stated retirement age of 75 | Term | |
Self-Employed | Must have been in their current business for a minimum of 12 months and able to supply 1 year’s trading accounts | Minimum | 5 years and 1 month |
Maximum | 35 Years | ||
Loan Size | |||
Minimum | £25,001 | ||
Maximum | Up to £500,000 available to 75% LTV |
Need help with your mortgage case?
To discuss a case, or find out more about our products, call our experienced team. Ready to submit? Log into the application portal to get started, or register if it’s your first case with Pepper Money.
Resources
Our Right to Buy Intermediary tool kit has all the information you need