Lending and Security Guidelines

This page provides guidance for mortgage intermediaries on the areas the West Brom will consider as part of its mortgage underwriting processes. For general queries, please see our Frequently Asked Questions.

In addition to the guidelines set out in this page, the West Brom also applies a number of proprietary credit assessment tools, the outcome of which may result in a case being declined despite appearing to fit within the guidelines set out in this page.

The West Brom retains the right to change its underwriting policy at any time and without necessarily updating these guidelines. However, the West Brom will endeavour to ensure the guidelines set out in this page represent the Society’s current approach to lending.

In the event of any clarification being required please contact the Intermediary Sales and Support Team (ISST) or your Business Relationship Manager (BRM). Prior to submission of supporting documentation please contact the BRM for clarification of any items or policy which may require further investigation to ensure cases are processed in a timely manner. 

Please use the search facility below in order to quickly find the information you are looking for from our Lending and Security Guidelines.

Alternatively, you can download a printable pdf of our Lending and Security Guidelines.

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Deposit Type

  • Permitted where from a close family member

  • Confirmation of the sum being ‘non-repayable’ must be evidenced unless:

    • Protected by a Deed of Trust (or similar) or

    • Registered as a second charge

  • Gift not acceptable where:

    • Provided by the vendor (unless an acceptable new build incentive from the builder/developer);

    • Provided by someone who is intending to reside in the property

Security Basic Criteria

  • Permitted.

  • New build is defined as a property that has been completed or converted in the last 24 months, or on first occupation

  • Maximum 75% LTV for flats/maisonettes

  • Maximum 85% for other builds

  • Completion within 12 months of application

  • New build/Shared Ownership lending within a specific development is restricted to:

    • Maximum 25% exposure within a development

    • Maximum 25% may be flats/maisonettes of the securities accepted

    • Maximum 25% of flats per block

    • Maximum of 25% of Shared Ownership proportion of a development

    • Qualified Architect supervised new builds permitted where an acceptable building warranty is available

    • Off plan purchases permitted where completion complies with standard Offer of Loan and Valuation validity period

  • Acceptable new build warranties:

    • NHBC

    • Premier Guarantee

    • Building Life Plans underwritten by Allianz Global

    • LABC new build warranty

    • Checkmate Castle 10

    • Buildzone

    • Q Assure Build

    • Global Home Warranties

    • Protek (subject to the Society interest being noted on the individual policy)

    • HomeProof

    • One Guarantee

    • Advantage

Security Acceptable Properties

  • Permitted.

  • New build: Maximum 85% LTV.

  • Non-new build: Maximum 95% LTV.

  • Permitted

  • New build: Maximum 75% LTV

  • Non-new build: Maximum 85% LTV

  • Restricted to 25% of a development

  • Flats that are 5 storeys or less are permitted subject to acceptable property type, valuation and LTV (number of storeys assessed from ground level). Flats over 5 storeys are not permitted.

  • All flats in blocks of more than 4 storeys require lift access (number of storeys assessed from ground level)

  • Flats with deck access are not permitted

  • The block complies with the Society’s policy on mixed use

  • Flats with cladding/balconies permitted subject to:

    • Valuer follows the latest RICS guidance notes to inform if an EWS1 is required;

    • Where an EWS1 is required only categories A1, A2 and B1 are permitted; and 

  • Flats converted from commercial/office blocks acceptable subject to valuation

  • Full valuation (no desktop or AVM)

  • Permitted, subject to 85% LTV

  • New build 75% LTV.

  • Permitted.

  • Maximum 85% LTV.

  • The property must be for the exclusive use of applicants and freely marketable.

  • Please note, an applicant purchasing another property where it will be their main residence, is not treated as a second home

  • Not permitted

    • Where the property is to be occupied by the applicant(s) and/or applicants family and friends as a main residence

  • Permitted

  • Flat/maisonette maximum 75% LTV and minimum value of £150,000

  • Subject to restriction of maximum 25% of a development

  • Excluding commercial premises that have an adverse impact on security valuation

  • The property to act as the Society’s security must have an independent access. Those that are accessed via the commercial premises are not permitted

  • The following commercial uses are not permitted:

    • A3 – restaurant and café

    • A4 - drinking establishment

    • A5 – hot food takeaway

    • Sui Generis – commercial of its own kind e.g. scarp yard, petrol station, night club, launderette

Security Construction Type

  • Permitted

  • With a predominantly masonry outer leaf

  • Subject to:

    • BOPAS or similar accreditation

    • Local authority approvals

    • NHBC or similar 10 year new build warranty

    • BBA/BRE certificates (frame and cladding)

  • Permitted

  • With an accredited external cladding

  • Subject to:

    • BOPAS or similar accreditation

    • Local authority approvals

    • NHBC or similar 10 year new build warranty

    • BBA/BRE certificate (frame and cladding)

    • Subject to relevant recognised warranty

  • Permitted

  • With a predominantly masonry outer leaf

  • Subject to:

    • BOPAS or similar accreditation

    • Local authority approvals

    • NHBC or similar 10 year new build warranty

    • BBA/BRE certificate (frame and cladding)

    • Subject to relevant recognised warranty

Definitions

ADV : Advance
BTL : Buy to Let
CAIS : Credit Account Information Sharing
CCJ : County Court Judgment
CII : Consumer Indebtedness Index
COMM : Commission
KFI : Key Facts Illustration
LTV : Loan to Value
RMC : Regulated Mortgage Contract

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