Nottingham Building Society has made a change to its mortgage criteria to accept 100% of secondary income for an application, up from the previous allowance of 50%.
The mutual made this change after it carried out research that suggested a fifth of people in the UK had taken on a side hustle to increase their earnings and chance of getting a mortgage.
Nottingham Building Society will also accept 100% of child maintenance income and has set the pension contribution assumption to 5%, which it said would be more affordable. It has also updated its contractual car allowance acceptance to cover contractual travel allowance at 100% and updated its National Insurance acceptance thresholds to the updated bandings.
Matt Kingston, sales director at Nottingham Building Society, said: “Our latest updates to affordability criteria reflect our ongoing commitment to adapting to the needs of today’s borrowers. By recognising a wider range of income sources, such as 100% of secondary income and child maintenance, we’re ensuring our criteria evolve with modern financial realities.
“This is just the first step in our journey for 2025. We remain focused on creating innovative solutions that help even more people from diverse financial backgrounds access the housing market, and we’re excited to continue building on these improvements throughout the year.”
The mutual has made a number of changes to its offering and, at the end of last year, introduced auto-assisted underwriting technology to speed up decision-making on mortgage applications.
Market Moves
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