Hodge Bank introduces 80% LTV on Interest Only Mortgages, helping borrowers maximise their affordability

November 4, 2025

Specialist lender Hodge has today announced it will accept 80% Loan to Value (LTV) on Interest Only Mortgages to help borrowers expand their affordability.

The criteria enhancement is the latest in a raft of changes introduced by the lender in a bid to make its underwriting as flexible as possible. This change applies to Hodge’s entire Resi and Resi Retire range regardless of the borrower’s age.

Speaking about the latest criteria enhancement, Emma Graham, business development director for Hodge, says: “It’s essential for us to keep an open dialogue with brokers to help us understand the challenges mortgage customers are facing. Time and again we hear affordability is proving a sticking point for many clients, we hope increasing the LTV on Interest Only Mortgages will help break some of that stickiness down.”

As a customer-centric, criteria-led lender, Hodge is keen to flex products and adapt criteria to suit the ever-evolving needs of mortgage borrowers.

Head of mortgage origination for Hodge, Rob Ford, added: “We know customer needs are changing. Whether that’s older borrowers hoping to make the most of retirement, or younger borrowers earning income from multiple sources.

“Lifelong lending is slowly becoming the rule rather than the exception and Hodge Bank is doing what it can to make those borrowers’ aspirations a reality.”

Hodge lends from age 21, up to and into retirement with a flexible approach to underwriting to reflect case complexity and diverse income assessment.

Key points:

  • Sale of property accepted up to 75% LTV with the remaining 5% achieved via a second repayment vehicle
  • Interest Only assessed on an Interest Only basis for affordability
  • Available up to and into retirement
  • No minimum income requirements
  • Minimum property value of £500k for IO at 80%
  • 80% LTV on Interest Only up to £2m and 75% LTV up to £3m
  • Maximum LTI x 5.5
  • Available across the Resi and Resi Retire range.

EAN Breaking News

Breaking News. Have a new story to share with us? Then please get in contact today!

You May Also Enjoy

Commercial Agent Talk

Building Site Accidents and Compensation: A Guide for Injured Workers

One mistake, one faulty piece of equipment and an unsafe working setup could cause a construction laborer much more than just aches and pains. One injury can result in medical costs, showing up on working days, reduced income and a path to long recovery. Under certain circumstances, the workers may be entitled to get compensation…
Read More →
Estate Agent Talk

First-Time Buyers: Why 4–5 Houses is the Sweet Spot

House hunting before the stress kicks in: Four to five houses is the sweet spot for first-time buyers Just 20% of us feel excited on a first property viewing, rising to 47% by viewings 4 to 5 There’s a U shape trajectory of excitement when it comes to the viewing process However, there is a…
Read More →
Breaking News

Two in five mortgage holders switched banks for a better mortgage deal

Of those who have a mortgage and switched banks, 41% did so to get a better mortgage rate deal and 30% did it to receive an incentive related to their mortgage Only 15% of people moving home switched their bank account during the move, while far more switched broadband (46%), energy (38%), and mobile phones…
Read More →
Breaking News

Housing market trends highlight a changing landscape

The housing market has seen many challenges across the year to date and, in many ways, the property landscape has been a year of two extremes already.   At the start of the year, there was a quiet but optimistic consumer confidence in the air.   However, with the global economy impacting almost every aspect…
Read More →
Breaking News

Breaking Property News 7/9/26

Daily bite-sized proptech and property news in partnership with Proptech-X.     Privera uses Silex to provide its employees with a shared platform for source-based research Silex, the Swiss AI platform for legal research and productivity, today announced that Privera has selected and deployed Silex to support legal research and knowledge workflows across its nationwide real estate…
Read More →
Breaking News

Mortgage rate rises loom as major lenders reprice

Major lenders have moved to increase mortgage rates to catch up with recent rises to swap rates, according to Moneyfactscompare.co.uk analysis.   Over the coming days, more lenders are expected to review mortgage rates in response to higher swap rates, with HSBC and NatWest so far the biggest banks to increase rates since the start…
Read More →