Chesham Building Society has announced it is to increase the income multiple to determine how much a couple or individual is able to borrow to 3.5 times annual salary.
With consumer confidence in the housing market currently strong, a spokesperson for Moneyfacts.co.uk, Lisa Taylor, has claimed the announcement is part of a positive trend among lenders and was a sign of "growing confidence".
"2.75 to three times joint income is the average in the market," she explained.
"It's quite interesting that even though they [Chesham] were lower than the market average, they are still increasing their lending criteria to meet that.
"[It] shows their confidence that they can afford that level as well," she added.
Ms Taylor also noted that she believed the stability of the current economy meant such a change was not "too much of an issue".
However, she did stress that mortgages could become more expensive, and lenders less generous, in the future if the country was to return to a period of instability and higher interest rates.To read more about mortgages, click here.
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