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, Moneyfacts.co.uk 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 Moneyfacts.co.uk, 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.”