Friday, 17 February 2012

Mortgage lenders offer first time buyers with small deposits a life-line.....

Multiple mortgage lenders are claiming to be offering lifelines to those who are buying a home for the first time who either have little equity in their property or a small deposit. BUT are any of them doing what they say on the tin? HSBC has launched a range of 90% loan-to-value mortgages for 2012, having set aside £3billion to assist first time buyers, while Hinckley & Rugby, Yorkshire and Marsden building societies all offer 90% loan-to-value deals as well. The loan-to-value deals are the percentage of the purchase price the borrower needs as a mortgage; so if you have a £10,000 deposit and borrow £90,000 to buy a £100,000 property the Loan-to-value is 90%. In general terms, the lower the LTV, the cheaper your mortgage rate will be. For your conveyancing solutions visit us!!

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