Lenders best mortgage deals offered to those with smaller deposits.
The fact lenders are offering an increasing number of their best mortgage deals to customers with small deposits could lead to the creation of green shoots development in the housing market.
Since the credit crunch lenders loan to value levels have got lower. Moneyfacts mortgage research reveals that when the UK economy crashed 3 years ago, average mortgage deposits rose to around 40 per cent.
Gradually this situation has improved and currently LTV levels have increased to around 25 per cent which means there is more chance of lower income borrowers qualifying for lenders best mortgage deals.
Lenders initial mortgage rates have remained historically cheap. However despite the base rate remaining at 0.5 per cent some high street mortgage providers have announced standard variable rate increases.
A Moneyfacts spokesperson has said UK mortgage choice having doubled during the past 3 years has been good news for borrowers. The recent re-introduction of higher LTV mortgage products now offers more choice to those with smaller deposits. However while the number of mortgage deals at high LTV levels has increased so unfortunately have lenders mortgage fees.
Deal Direct are 'whole of market' brokers dedicated to helping UK borrowers find lenders best mortgage deals. Whether you are looking to fund a new purchase or remortgage to move house or renovate, we can search the market to find the best products on offer.
Contact us by filling in our enquiry form or you can simply telephone us on
0800 048 8828 and let our skilled mortgage advisers do the rest.
