<p>Nationwide is changing its new home valuation policy to include the new build premium, a move which should help improve the availability of mortgages for new home buyers.</p> <p>Previously Nationwide had not included a new build premium, instead valuing homes on resale value - this led to downvaluations and mortgage challenges for new home buyers. Nationwide had adopted this policy because of concerns over new home incentives and pricing. But the change has been made following the greater disclosure of incentives, bringing Nationwide into line with other lenders.</p> <p>Nationwide is also aligning its maximum loan to value for new build houses at 85%, although it remains at 75% for new build flats.</p> <p>The changes will come into force on November 7.</p> <p>"These changes are about reaching the right balance between prudence and market support," said Andrew Baddeley-Chappell, head of mortgage and policy at Nationwide. "We are aware that our previous valuation approach presented some additional complexity."</p> <p>"This is very welcome news," said HBF executive chairman Stewart Baseley. "Nationwide's move should help increase the availability of mortgages for new home buyers. This in turn will help increase housing completions."</p> <p> </p> <p> </p>