HSBC UK has increased its higher loan-to-value (LTV) lending limits on its residential mortgages for all new build properties and all flats, including non-new build flats.

The new maximum LTV tiers have increased by 5% on each property type – bringing in new LTV limits of up to 85% and 90% for all new builds and flats on repayment mortgages.

In addition, the minimum deposit of £25,000, required to purchase a new build house has also been removed.

The new limits apply to all residential applications made through mortgage brokers and from direct applicants.

The new maximum tiers on residential applications include:

• Non-new build flats rising from 85% to 90% LTV tier • New build flats rising from 80% to 85% LTV tier • New build houses rising from 85% to 90% LTV tier

HSBC UK head of intermediary mortgages Chris Pearson says: “By increasing our maximum lending tiers we are providing more flexibility and support to first time buyers and to those looking to move on to their next property.”