We're extending our family criteria

Making more possible for new home buyers

As part of Principality’s commitment to making more possible for new home buyers,we have changed our definition of family in relation to providing gifted deposits and equity. 

We have extended the current definition to include all family members and step family. 

This decision has been made, not only to respond to changes in the market which has seen an increase in the number of mortgage deposits funded in part by family and friends, but also, to align our mortgage criteria with underwriting decisions made on a case by case basis.

Government data for 2023-24 indicates that first time buyers continue to receive help from family and friends to purchase their first home, 31% during that period, and that they now access a wide range of resources to make up their deposit. The main source of funds continues to be savings.

This change follows Principality’s introduction of boosts for first time buyers including family boosts and the introduction of a 5.5x loan to income (LTI)

A word from our National Intermediary Manager

Helen Lewis, National Intermediary Manager, at Principality Building Society adds: “Following consultation with brokers, we have updated this piece of criteria to extend the support available to buyers looking to secure their new home. This is the first change ahead of a busy 2025 for us as we look to continue to support brokers and their clients”.

For information on how Principality Intermediaries can help support you get in touch with your local BDM or contact our broker support team on 0330 333 4021.