The maximum loan size for borrowing at 75-85% LTV has risen from £1m for new builds and £2m for other homes to £2.6m for both types of property from today.

For all property types at 85-90% LTV the max loan size has increased from £750,000 to £1m.

For all properties other than new-build flats at 90-95% LTV the max loan is up from £600,000 to £750,000.

In addition to these changes, the lender will now go up to 95% LTV on new-build houses where it previously had a 90% LTV limit.

Below 75% LTV, the max loan remains unchanged at £5m.

Between 95% and 99% LTV the max loan is still £495,000 for non new-builds.

Strategic partnerships and propositions manager Andrew Calder says: “House prices rising by around a quarter over the past five years has made it harder and harder for people – and especially first-time buyers – to access the size of mortgage they need.

“Meanwhile, costs have gone up so significantly in some areas of the country, it’s hard for borrowers to secure the kind of mortgage they need.

“This means they either have to make up for this with a much bigger deposit than the norm, which can put many out of the race or they face waiting years to realise their homeownership dreams while they save up more.

“At the same time, many buyers want to purchase new-build houses because of their energy efficiency and relatively low maintenance requirements.

“Therefore, as well as increasing our maximum loan sizes for new build and non-new build homes, we have lowered our minimum deposit requirements for new builds, to make this a possibility for more people.

“At Accord, we are always looking at opportunities to help remove blockers for borrowers, and help them achieve their homeownership goals.”

In April this year Accord made changes to stress test rates and its affordability model.