About Skipton Building Society
Skipton Building Society is an award-winning financial services provider with over 165 years of experience. They offer a wide range of mortgage products, including fixed-rate and variable-rate mortgages, to suit your individual needs and circumstances.
They are one of the UK's leading mortgage lenders with over 1 million customers in total. Skipton Building Society is committed to providing excellent customer service and offers a personal approach to banking. They have a network of branches across the United Kingdom, as well as an award-winning telephone and online service.
What type of mortgages do they offer?
Skipton’s mortgage products range fall into the broad categories below:
- First-time buyer mortgages: Including options for borrowers using a government scheme such as Shared Ownership and the First Homes Scheme.
- Remortgages: With deals for existing customers as well as those who are applying to move to Skipton Building Society from another mortgage lender.
- Homemover mortgages: A range of products aimed at borrowers who are buying a new home or want to port their existing Skipton mortgage to another property.
- Buy-to-let mortgages: Including options for portfolio landlords, first-time landlords, and Investors purchasing specialist property types such as HMOs.
- No-deposit mortgages: Skipton’s Track Record mortgage is a specialist product aimed at people with no deposit but a history of making rent payments on time.
Skipton’s mortgage options include 2, 3 and 5-year fixed rates, as well as 2-year trackers.
Eligibility criteria
The eligibility criteria for a Skipton Building Society Mortgage can vary depending on the product type, but the general requirements for a residential mortgage are below:
- Deposit requirements: The minimum amount of deposit that Skipton will accept outside of its ‘Track Record’ deals is 5% of the property’s value.
- Credit history: Accepts most types of bad credit, with conditions, but serious issues such as bankruptcies and IVA needs to have been satisfied for 3-6 years.
- Age: Borrowers can be no older than 75 at the end of the term. If the term runs into their retirement, Skipton expects to see evidence of adequate retirement income.
- Employment history: Applicants in full-time jobs need to have been in continuous employment for at least six months, while self-employed mortgage applicants can potentially get approved for a mortgage based on just one year’s accounts.
Buy-to-mortgage criteria
Eligibility requirements for a buy-to-let mortgage with Skipton are as follows:
- Deposit requirements: Deposit requirements start at 25% of the property’s value.
- Rental income: For basic rate taxpayers, the minimum rental income must be 125% of the mortgage payments, or 145% for higher rate taxpayers and portfolio landlords.
- Portfolio size: Skipton will not lend to landlords with 10 or more properties in total, five of which can be mortgaged with this lender. For all buy-to-let landlords, total borrowing with Skipton Building Society cannot exceed £3 million.
- Maximum loan size: The maximum size for a single loan is £1.5 million.
Skipton’s buy-to-let mortgages come in fixed and variable rate options, and are available to first-time landlords provided they have owned a home for at least six months.
100% mortgages
Skipton Building Society is well known as one of the few lenders who are willing to offer mortgages to borrowers who have no deposit. Their ‘Track Record’ mortgage is a 100% LTV deal aimed at renters who haven’t owned a home in the last three years.
The eligibility criteria for Skipton’s no deposit mortgage is as follows:
- Applicants must have clean credit
- Need evidence of making 12 monthly rent payments in a row in the last 18 months
- A maximum term length of 35 years
- Maximum borrowing of 4.49 times salary
- A maximum property value of £600,000
Skipton’s 100% mortgage is one of several options for borrowers with little or no deposit. Alternatives include borrowing a deposit or using a guarantor.
You should speak to a mortgage broker before you apply to make sure you make the right decision for your needs, circumstances and budget.
What interest rates does Skipton offer?
Skipton's mortgage rates on their residential and buy-to-let ranges are competative with other building societies, but the deal you qualify for will come down to your loan-to-value ratio, the strength of your application and the type of product you choose.
You can compare rates from Skipton with over 90 other lenders from across the market for free, or have one of our brokers do it for you, below:
