Mortgage & Property Advice Centre for First Time Home Buyers

Mortgage Guide

High LTV Mortgages

How High LTV mortgages Work

A high LTV (Loan to Value) mortgage is a mortgage of between 100% and 130% of the property price


Advantages of high LTV mortgages

You would not find a personal unsecured loan at such a cheap rate.

The funds surplus to 100% should cover all home-buying costs.

No Deposit required.


Disadvantages of high LTV mortgages

In effect, you are in negative equity from day one and if house prices then go down, your situation will worsen. Could be a problem if you need to sell or move.

The interest rate on high LTV loans is considerably higher. With some lenders, a Higher Lending Charge (HLC) could also apply.


Typical high LTV mortgages lenders

Very hard to find these days as lenders are reducing their risk exposure. See if there's anything else that will suit you - seek mortgage advice.


High LTV mortgages advice

Request mortgage advice about borrowing over 100% of the property value.

Features, advantages and disavantages of specific first time buyer mortgages:

100% Mortgages l Cashback Mortgages l High LTV Mortgages l Graduate Mortgages l Professional Mortgages l Mortgages with Parents l Guarantor Mortgages l Family Offset Mortgages l Mortgages with Friends or Family l Mortgages at University l Rent a Room Mortgages l Affordable Mortgages l Interest only Mortgages l Part Repayment Part Interest Mortgages l Interest-free Start Mortgages l Shared Ownership Mortgages l Poor, Adverse or Poor Credit Mortgages l Key Worker Mortgages l Shared Equity Mortgages

Useful websites:

www.cml.org.uk – council of mortgage lenders.



 


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Is it better to own your home rather than to rent?

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Could the government do more to help first time buyers?

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