ICS Mortgages has made a number of changes to its owner-occupier offering as it bids to ramp up lending again.
The non-bank lender is increasing its loan-to-value limit for first time buyers up to four times salary from 2.5 times.
It has also announced that existing customers will be able to avail of equity release increased loan-to-value of 90% for home improvements, education fees, medical expenses, and/or the refinance of property-related loans.
"ICS Mortgages is enhancing its new mortgage product offering whilst also planning for new innovative mortgages over the coming months accompanied by regular rate reviews," said Ray McMahon, Chief Commercial Officer.
The lender, which is owned by Dilosk, has also changed its public sector mortgage product to allow qualifying criteria to take into consideration base salary plus three levels on the pay scale.
"ICS Mortgages was originally established to provide mortgages to the public sector and after over 160 years this is still a hugely important area of the business to us," Mr McMahon added.
"Our public sector mortgage specifically caters to public sector employees nationwide and combines great service and product innovation."
"It takes into account their current base salary combined with three points on their pay scale for pay increases in further years as well as allowances and overtime. This will enable access to greater funding when compared with their base salary alone."
Dilosk currently has circa €1.6 billion of mortgages under management.
In the summer of 2022 it cut its loan to value limit to 2.5 times and increased interest rates, as it restricted lending to owner occupiers, amid soaring borrowing costs on wholesale markets.
However, it did continue lending in the smaller buy-to-let market.
Like other non-bank lenders, it sources its funding entirely from wholesale and bond markets, where the cost of borrowing soared in the wake of the ECB starting to increase rates.
Last week it completed the sale of €400m in bonds.
Despite the changes announced today, its mortgage lending rates remain high in comparison to those offered by banks.
Yesterday evening, competitor Finance Ireland announced it was cutting its three and five year fixed mortgage rates by 0.45%.
