Accord Mortgages, a subsidiary of Yorkshire Building Society, has mounted itself as a distinguished participant in the UK’s loan industry. Catering solely to intermediaries, Accord gives a variety of loan merchandise tailor-made to satisfy the various desires of debtors.
Overview of Accord Mortgages
Founded in 2002, Accord Mortgages operates as the intermediary-most effective arm of Yorkshire Building Society, the UK’s third-biggest constructing society. This shape approach that their loan merchandise are handy completely thru loan brokers, making sure that debtors acquire professional recommendation tailor-made to their particular situations.
Mortgage Products Offered through Accord
Accord affords a complete suite of loan merchandise designed to cater to a big range of borrowing desires:
1. Residential Mortgages
Fixed-Rate Mortgages: These mortgages provide a set hobby price for a preliminary period, commonly starting from 2 to 10 years. This guarantees steady month-to-month bills, helping in economic planning.
Tracker Mortgages: The hobby price on those mortgages tracks the Bank of England base price for a fixed period, mainly to enable fluctuations in month-to-month bills.
Offset Mortgages: Borrowers can hyperlink their financial savings bills to their loan, with the financial savings stability offsetting the loan stability. This can lessen the hobby payable and probably shor10 the loan term.
Interest-Only Mortgages: Borrowers pay most effectively the hobby at some stage in the loan term, with the primary quantity due on the end. Specific standards and reimbursement techniques are required for eligibility.
2. Buy-to-Let Mortgages
Designed for landlords, those mortgages facilitate the acquisition or remortgaging of condominium properties. Accord gives aggressive charges and terms, accommodating each pro and first-time landlords.
3. Low Deposit Mortgages
In reaction to the demanding situations confronted through first-time customers, Accord added the £5K Deposit Mortgage. Initially released in 2024, this product lets in customers to buy houses valued as much as £500,000 with a deposit of just £5,000. In February 2025, Accord increased this imparting to consist of flat purchases, broadening the alternatives for city customers. The loan is a 5-12 months fixed-price product, presently at 5.69%, to be given solely to first-time customers on a capital and hobby reimbursement basis.
Lending Criteria and Flexibility
Accord Mortgages is thought for its bendy and common-experience method to lending, frequently thinking about character situations that might not suit conventional lending standards.
Loan-to-Income (LTI) Ratios
Standard Borrowing: Accord commonly gives as much as 5 instances the gross annual profits for debtors.
Enhanced Borrowing: For high-profits earners, Accord may also recall lending as much as 5.5 instances the once a year profits, in particular for people with family earning exceeding £70,000.
Interest-Only Mortgages
In May 2023, Accord improved its hobby-most effective loan standards through:
Accepting the sale of some other UK assets as a legitimate reimbursement strategy.
Allowing using a pension lump sum for reimbursement, furnished the borrower is over fifty 5 and eligible.
Increasing the most Loan-to-Value (LTV) ratio for hobby-most effective mortgages from 50% to 60%.
Raising the minimum fairness requirement from £200,000 to £250,000 (£300,000 in London).
Borrowers with Adverse Credit
Accord demonstrates flexibility in the direction of candidates with minor credit score issues:
Late or Missed Payments: Applications with a record of past due bills are accepted, and up to 1 neglected price in the closing years can be considered.
County Court Judgments (CCJs): Accepted if happy extra than 3 years prior.
Debt Management Plans (DMPs): Considered if absolutely happy.
Individual Voluntary Arrangements (IVAs) and Bankruptcies: Accepted if discharged over six years ago.
Home Repossession: Considered if it came about extra than six years ago.
Recent Developments
Accord Mortgages usually adapts its services to satisfy marketplace needs and aid debtors:
Expansion of Low Deposit Mortgage: In February 2025, Accord prolonged its £5K Deposit Mortgage to consist of flat purchases, addressing affordability demanding situations in city areas.
Enhanced Loan-to-Income Flexibility: In September 2024, Accord decreased the minimum profits requirement for borrowing extra than four.forty nine instances profits from £60,000 to £50,000, relevant to mortgages as much as 90% LTV, together with new-construct properties.
Commitment to Mental Health: In November 2024, Accord became a signatory of the Mortgage Industry Mental Health Charter (MIMHC), emphasizing its willpower to worker wellbeing and fostering a lifestyle of openness and compassion in the industry.
Customer Feedback
Customer studies with Accord Mortgages vary:
Positive Feedback: Many clients admire Accord’s bendy underwriting and willingness to recall specific situations. Brokers frequently commend Accord for its common-experience method and green processing instances.
Areas for Improvement: Some clients have said demanding situations, especially regarding verbal exchange and the thoroughness of assets valuations. As with any lender, studies can range primarily based totally on character situations.
How long do accord mortgages take?
The time it takes for Accord Mortgages to procedure an utility varies relying on elements inclusive of the complexity of the case, the accuracy of submitted files, and the time taken for assets valuation. However, here is a preferred timeline:
Decision in Principle (DIP): Usually issued inside 24 hours if all important information is furnished.
Full Application Processing: Typically takes 5 to 10 running days however may also take longer if extra files are required.
Property Valuation: Conducted inside a week, even though this relies upon surveyor availability.
Mortgage Offer Issued: If the whole lot is in order, a proper loan provider is typically made within 2 to four weeks from utility submission.
Which banks function accord mortgages?
Accord Mortgages is operated through Yorkshire Building Society (YBS). It isn’t always a standalone financial institution however a subsidiary of Yorkshire Building Society, certainly considered one among the most important constructing societies in the UK.
While Accord Mortgages itself does now no longer function under a couple of banks, its discern company, Yorkshire Building Society, additionally owns and operates different economic brands, together with:
Chelsea Building Society
Norwich & Peterborough Building Society (N&P) – now included into YBS
Final Thoughts
Accord Mortgages sticks out as a dependable lender with a variety of loan merchandise designed to fit special borrower desires. From first-time customers making the most of low-deposit alternatives to landlords looking for buy-to-allow financing, Accord gives aggressive charges and bendy standards.
FAQs
What is the most quantity I can borrow with Accord Mortgages?
Accord typically lends up to 5 times your gross annual salary. For high-income earners, this may extend to 5.5 times the salary, depending on individual circumstances and the specific mortgage product.
Does Accord offer mortgages for first-time buyers?
Yes, Accord provides several products tailored for first-time buyers, including the £5K Deposit Mortgage, which allows purchases with a minimal deposit.
Can I get an interest-only mortgage with Accord?
Accord offers interest-only mortgages, subject to specific criteria, including acceptable repayment strategies and LTV limits.
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