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First Time Buyers – Where have all the 95% mortgages gone?


by Sam Fox Warrington Mortgage Centre

IF you are a First Time Buyer in Warrington with a 5% deposit, you’ll know exactly how difficult and confusing the mortgage world can be right now.

So where are 95% mortgages?
At the start of the Covid-19 outbreak, may lenders across the UK restricted the maximum that they would lend on a property from between 75% – 80%.
The primary reason is that the country was placed into lockdown and property surveyors were not permitted to enter homes across the UK to carry out a valuation for the lender.
As a market, lenders have adapted the further we’ve moved through lockdown and have been able to introduce Automated & Desktop surveys where property data is available, meaning many lenders are now able to offer a higher loan to value – still though, many are restricted to 85%.
We have intermittently had lenders come back at 90%, but only for limited time.
Last week. We had a lender, Saffron Building Society, (Who? I hear you say!) bring back a 95% mortgage product! Sadly, this only lasted 6 hours!
There are no signs as yet, when, or if, 95% mortgage products will become available any time soon.
However, feedback from many of the High street lenders is that they do have funds available, plenty of it too!
First Time Buyers in Warrington need to be super prepared.
We’ve put together our 5 top tips, so that you can make sure you’re mortgage ready!
1.Understand your Income
2.Understand your outgoings
3.Check your credit file!
4.Be honest with your broker
5.Avoid Payday loans
We’re working with a number for local First Time Buyers in Warrington, to prepared them for when the 95% mortgages are available, they can move quickly in securing their home.
If you’re a First Time Buyer, please feel free to email me with any questions.


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