< Back to blog

Low-deposit mortgages return Posted On 21 January 2021

 

A four-fold rise in mortgage products for homeowners with a 10% deposit

 

Since last summer there has been a four-fold increase in low-deposit mortgage products available. The low-deposit mortgage products, which offer deposits as low as 10%, will offer some relief to first-time buyers.

 

Last September there were only 44 mortgage products available with a 10% deposit, however, that choice has now risen to 197 products with some big lenders adding their own products in recent weeks. For those with a 15% deposit, there has also been a sharp rise with a huge choice available.

 

During the pandemic, lenders have been grappling with the effects of COVID-19 on their business. Staff shortages, and employees working from home, alongside the mini-property boom towards the end of the year, have meant that many were unable to process applications as fast as before.

 

This led to some of the biggest mortgage lenders withdrawing from the market, until now. With new systems in place, and the ability to work more efficiently from home, some have returned to the lending market with the effect being that the added competition has helped push costs down.

 

Another ray of hope for mortgage lenders, which then passes down to homeowners, is that at the end of December only 130,000 mortgage payment holidays were still in place compared to 1.8 million during the peak of lockdown in June. With mortgages being paid again, mortgage lenders have started looking at new products and re-entered the market to make it more competitive.

 

And with the Stamp Duty Holiday due to be debated in the House of Commons this week, now is the perfect time to talk to us to see what our financial advisors can do for you…

< Back to blog

Connect with us

Recent Posts

Does your Home Still Suit Your Needs?

Deciding whether to stay or Go Deciding to move house is an exciting, if somewhat daunting, decision. Identifying your ‘why’ is crucial when you start to sense that niggling feeling that has your trawling Rightmove to find your next home. Feeling cramped is one of the most common driving factors when deciding to move. We …

Read more...

House Prices Growing Month on Month

Annual growth of 10% for the past five Months Wondering whether to take the plunge and list your property for sale? If you’re looking to get the best possible price for your home, now is the time to act. According to Nationwide’s House Price Index (HPI) UK house prices have seen a growth of at …

Read more...

National Work Life Week

11-15 October 2021   The secret to a work life balance seems to be on everyone’s lips at the moment. The change in the way many are working and the way our homes are transforming into home/office hybrids has changed the outlook employees and employers have on work life balance in a positive way.   …

Read more...

International Chocolate Week

14-19th October   Is there any better smell to fill a house than the aroma of melted chocolate? The rich, tantalising scent draws in chocolate lovers young and old. The 14-19th October marks International Chocolate Week, the perfect excuse to celebrate this festival and fill your home with chocolatey goodness!   Why not kick off …

Read more...

Get Ready for Market

Prepare now to move tomorrow   Are you wondering what to do before putting your property on the market? Well, while you’ve been wondering, your dream house could have come and gone, bought by someone who was already on the market. So don’t delay, now is the perfect time to put your property on the …

Read more...