First-time buyers boosted by return of 90% mortgages
There was a very interesting article the Times yesterday saying that 90% mortgages are back for property buyers and apparently NatWest have now joined Barclays, Yorkshire and Lloyds to offer 90% mortgages!
From tomorrow Natwest Group will be reintroducing 90 per cent loan-to-value (LTV) deals for its Natwest and Royal Bank of Scotland brands. There will be four new products for customers looking to take a two or five-year fixed rate with an LTV of 90 per cent and it will be one of the first to offer this facility for first-time buyers and existing homeowners.
According to Moneyfacts, which monitors the mortgages and savings markets, there were 78 offers of 90 per cent mortgages available on December 1, compared with 56 at the beginning of last month. This can only be a good thing as it helps people to get their own homes. Its also more evidence that the property market and financing reacts and moves differently to other areas of our economy. At a time when economic doom and gloom is all around us, the finance providers are loosening their criteria and encouraging people to borrow and this is partly to do with the providers.
They are just businesses and they have to try and keep going and having more and better products available all helps. So it’s going to be a mortgage magical Christmas!