Mortgage News 95percent LTV Mortgage Market Grows 533percent In 12 Months 18470773
95% LTV mortgage market grows 533% in 12 months
30 April 2010 / by Rachael Stiles
The number of 95 per cent loan to value mortgage deals on the market has risen by 533 per cent in the last year, analysis from Moneyfacts.co.uk has found.
The financial information website has said that the number of mortgages available has risen from 1,209 in April 2009, to 2,076, and a significant proportion of these are high loan to value mortgages, available to customers with smaller deposits.
The availability of 95 per cent loan to value mortgages has risen 533 per cent, from three a year ago to 19 this month.
The 95 per cent mortgage market has grown the most in this time, but other mortgage deals have also become more plentiful.
There are 107 per cent more 90 per cent LTV deals available; the number of 85 per cent mortgages on the market has risen 85 per cent; the 75 per cent mortgage market has grown 31 per cent, and 60 per cent deals have increased by 33 per cent.
The increase in higher loan to value mortgages is a “welcome boost for the mortgage market,” Moneyfacts said.
Michelle Slade, spokesperson for Moneyfacts.co.uk commented: “A 25% deposit remains the benchmark for the majority of the most competitive deals. However, borrowers with a small deposit are increasingly getting access to a wider proportion of the market.
“The platform is developing for a resurgence in the mortgage market, but lending figures show that there is still a way to go before the market returns to any sort of normality.”
© Fair Investment Company Ltd