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Lenders to start withdrawing 100% mortgage deals

February 21, 2008 by admin  
Filed under News, News-Loans

1 Comment

Following the withdrawal of 125 per cent mortgage deals, many lenders are beginning to remove 100 per cent deals too, one finance expert has claimed.

Moneyfacts.co.uk has said that 100 per cent mortgage deals are becoming expensive and harder to find, and this is a market trend which will affect first-time buyers the most.

Since November almost one third of lenders offering the rate have withdrawn their products from the market, leaving only 28 providers.

Julia Harris analyst at moneyfacts.co.uk, said: “This is yet another example of lenders continuing to tighten their belts even further in what has become a vastly different mortgage market from this time last year.”

Those who are looking to get on the first rung of the property ladder will find there are fewer options without a deposit.

First-time buyers could have to pay a larger premium for the added risk that the lender is taking on, he added.

Meanwhile, the Council of Mortgage Lenders has reported that while gross lending held up well in January, there is still “considerable uncertainty in the housing market” at present.

Tags: lenders, different mortgage market, first time buyer, moneyfacts, larger premium, market trend, rate

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Comments

One Response to “Lenders to start withdrawing 100% mortgage deals”
  1. Suze@ 100 Mortgage says:
    October 10, 2009 at 1:16 pm

    I totally agree with your post, very much applicable to the current situation and shows it is about time to reinstate the 100% mortgage to the money markets.

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