Aldermore is increasing its maximum loan-to-value to 98% under a newly-designed proposition.

The lender’s product range will now be divided into five tiers to help brokers identify the deals most appropriate to their clients.

It includes enhanced criteria for first-time buyers, self-employed applicants, contractors,  customers with complex income and those with a history of adverse credit.

The upper LTV limit will rise to 98% for employed customers.

Under the criteria updates, Aldermore will also accept borrowers who have arrears on unsecured credit or utility bills.

Its new approach is also more flexible about county court judgments, defaults and secured credit arrears.  

Aldermore director of mortgages Jon Cooper says: “We know brokers are supporting customers with increasingly diverse financial circumstances, and they need lenders that can take a more specialist approach. 

“Whether a customer is self-employed, has multiple income streams or is recovering from a previous credit issue, they deserve a fair assessment of their individual circumstances.

“Our enhanced five-tier cascade range gives brokers greater flexibility to support more residential clients across a broader range of credit profiles, making it easier to find the right lending solution with confidence.

“It’s another step in our commitment to helping customers who don’t fit traditional high street criteria move closer to homeownership. We’ll continue to invest in our proposition, with further product enhancements to be announced later this week.”