The Scotsman

Low-de­posit mort­gage deals van­ish


More than 1,000 low-de­posit mort­gage deals have van­ished from the mar­ket in the past six months, in a blow to first-time buy­ers.

By early Septem­ber, there were just 76 deals for bor­row­ers with de­posits of 10 per cent or less, Mon­ey­ found.

Back in March, there were 1,184 mort­gages at 90 per cent, 95 per cent or 100 loan-to-value (LTV) avail­able - mean­ing a fall of 1,108 deals.

Those try­ing to get on the property lad­der also face the hur­dle of ris­ing house prices.

Mon­ey­facts’ find­ings were re­leased as Hal­i­fax said the av­er­age UK house price hit a new record high of £245,747 in Au­gust.

Rachel Springall, a finance ex­pert at Mon­ey­, said: “The av­er­age age for a first-time buyer is now 31, a year older than that of 10 years ago, and the av­er­age de­posit has in­creased by a quar­ter (25 per cent) over the same pe­riod.

“With­out the help from the bank of mum and dad, it would not be sur­pris­ing to see some prospec­tive buy­ers put their plans on hold un­til more mort­gage deals en­ter the mar­ket that they can com­fort­ably af­ford.”

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