Aldermore announced some product changes. See below for more information. For information on their current products and criteria call our team or click here. REMEMBER, you can access the Aldermore range using our Direct to Lender mortgage club so do contact us for further information. For any Documents Click here. Calculators Click Here.
Managed Rate increased by 0.25% to 8.73%
Aldermore Managed Rate Change
Following the 0.25% increase to the Bank of England Base Rate on 24 March, 2023, we’re increasing the Aldermore Managed Rate (AMR)* from 8.48% to 8.73%.
The change in AMR means our discounted variable, term variable rate mortgages and all reversion rates on fixed rate mortgages will increase by 0.25% for:
New and pipeline cases – for new business and product switch
From 28 March 2023, all new illustrations and mortgage offers (origination and product switch) will reflect the new AMR. This will impact affordability in some cases.
From 01 April 2023 all AMR linked variable rate accounts will be updated. We’re writing to all impacted customers to let them know their new interest rate and monthly payments.
*AMR is Aldermore’s standard variable rate for residential and buy to let mortgages
Please note: We’ve updated our mortgage guides. You’ll find them here.
Reduced mortgage stress rates
Changes to mortgage affordability – 27 March 2023
We’ve enhanced our affordability calculators to increase borrowing capacity across residential owner occupier and HMO units.
We understand that affordability is stretched for more of your clients at the moment and they may be struggling to get a mortgage or refinance their existing home loan. These changes are aimed at helping more of your clients secure the mortgage they need.
Our minimum ICR for houses in multiple occupation (HMOs), for individual higher rate taxpayers is reduced to 160% from 175% (when using surplus personal income, it’s reduced to 135% from 150%).