We allow family concessionary purchases where the vendor is a close relative.

In the event of a family concessionary purchase, we will lend against the market value of the property as determined by a suitable valuation. This means the LTV and product options will be based against this value and not the reduced purchase price.

The difference between the market value and the concession purchase price can form the sole deposit, but this must be at least 5%.

Restrictions:

• Available where the vendor is a close relative of at least one of the owners
• The vendor will not be allowed to reside in the property after completion
• The vendor cannot support the application as either an income booster or deposit booster

We also require:

• Gen H solvency statutory declaration signed by seller (template available on LMS portal)
• Compliance with UK Finance Handbook requirements in respect of transactions at undervalue (Section 5.16.3 - 5.16.4)