Will 95% mortgages return?
Discussion
Like many, i'm saving up to move to a bigger place, but it is a little annoying to be given the all clear on my affordability for the finance, yet I can't move on anything because I don't have enough deposit.
I've got 5% of the target price i'm looking at, but I expect it'll be at least another couple of years before I have another 5% to go with it, and then there is 3% stamp duty on top of that...
There were a few 95% mortgages out there for a little bit earlier in the year I think, but the NewBuy scheme seems to have killed that for anything other than New Builds (and you can't even use the usual cash incentives that are the major draw for New Build deals on those mortgages, so my 5% won't get me into a New Build anyway).
http://www.money.co.uk/mortgages/95-mortgages.htm
I understand why the finance market is like it is at the moment, but I just want to move dammit! I'm good for the finance, honest guv
How long till the 95% mortgage is back in the mainstream? Will it ever come back?
I've got 5% of the target price i'm looking at, but I expect it'll be at least another couple of years before I have another 5% to go with it, and then there is 3% stamp duty on top of that...
There were a few 95% mortgages out there for a little bit earlier in the year I think, but the NewBuy scheme seems to have killed that for anything other than New Builds (and you can't even use the usual cash incentives that are the major draw for New Build deals on those mortgages, so my 5% won't get me into a New Build anyway).
http://www.money.co.uk/mortgages/95-mortgages.htm
I understand why the finance market is like it is at the moment, but I just want to move dammit! I'm good for the finance, honest guv

How long till the 95% mortgage is back in the mainstream? Will it ever come back?
Chatting to a chap at work today who was bemoaning the deposit required for a first time buyer, I checked 95% mortgages and was surprised to find quite a few. 3.79% fixed for 4 years was the best for a first time buyer, 3.99% otherwise. Seems pretty reasonable, and by no means the only deal.
Jobbo said:
Chatting to a chap at work today who was bemoaning the deposit required for a first time buyer, I checked 95% mortgages and was surprised to find quite a few. 3.79% fixed for 4 years was the best for a first time buyer, 3.99% otherwise. Seems pretty reasonable, and by no means the only deal.
Show me them, because I can't find any 
Virtually all the ones listed in the above link are either NewBuy scheme, or one of the new type of "family" offset mortgage, which means you need a family member with 20% in savings to throw in the pot...
Sarnie said:
Standard 95% mortgages are available, just not on New Builds........
Tell me where
I've found a few that are only for local properties, or only loan up to a maximum of 250k etc... If I can get a standard 95% mortgage on a second hand home, that will loan up to £450-500k in the Milton Keynes or Bedford area, then that means a move may be possible in a year's time rather than 2+.
I can't find one though.
trooperiziz said:
Tell me where
I've found a few that are only for local properties, or only loan up to a maximum of 250k etc...
If I can get a standard 95% mortgage on a second hand home, that will loan up to £450-500k in the Milton Keynes or Bedford area, then that means a move may be possible in a year's time rather than 2+.
I can't find one though.
Your not speaking to the right people
I've found a few that are only for local properties, or only loan up to a maximum of 250k etc... If I can get a standard 95% mortgage on a second hand home, that will loan up to £450-500k in the Milton Keynes or Bedford area, then that means a move may be possible in a year's time rather than 2+.
I can't find one though.

trooperiziz said:
Sarnie said:
Your not speaking to the right people 
Which brings me back to my original question 

How long till 95% mortgages are back on the mainstream again? Will they ever be?
Banks seem to have short memories.
trooperiziz said:
Why didn't I think of that! 
Perfect solution, buy a smaller house that I don't want, rather than wait a couple of extra years and get the house I do want...
But with a 95% mortgage will you be able to afford it once rates increase? And they will increase at some point, perhaps in a couple of years 
Perfect solution, buy a smaller house that I don't want, rather than wait a couple of extra years and get the house I do want...

Kudos said:
trooperiziz said:
Why didn't I think of that! 
Perfect solution, buy a smaller house that I don't want, rather than wait a couple of extra years and get the house I do want...
But with a 95% mortgage will you be able to afford it once rates increase? And they will increase at some point, perhaps in a couple of years 
Perfect solution, buy a smaller house that I don't want, rather than wait a couple of extra years and get the house I do want...


Gassing Station | Finance | Top of Page | What's New | My Stuff


