Here’s something that caught my eye today in the Daily Mail...
“Boost for first time buyers with 10 per cent deposit as mortgage rate falls below 6 per cent for first time in three years
The average cost of a 90 per cent loan-to-value (LTV) mortgage, typically taken out by first-time buyers, is now 5.98 per cent – 0.4 per cent less than in May last year.
In a further boost to people trying to get on to the property ladder, the number of different deals available to those with only a 10 per cent deposit has soared by 41 per cent during the same period to 229″
Naturally there are better deals out there for those with a bigger deposit. If you have 20-30-50% or more then, you could expect 3.91% (40%)
But of course, only those with existing properties, will have those kind of deposits. But a lot of my existing customers are looking for and getting better deals all the time.
But, first time buyers are an ingenious bunch and they seem to find lots of ways to come up with the 10% deposit that is often required.
They borrow from parents or grand parents, or they they go out and get two or three extra jobs to help the save for a deposit.
No different now, than it was when I bought my first property back in the 80’s.
More competition please
So now there are more 10% deposit mortgage deals on the market and about time too. We need more competition in the market….That’s what drives this business and makes the banks lend at more competetive rates.
Its true there are more deals available now and if you need some help and advice, give me a call.
