The last 100% mortgage on offer has been scrapped by Abbey following similar decisions by its rivals. Since the credit crunch began last summer, more than 70% of mortgage deals have disappeared. Before Christmas, 33% of lenders offered mortgages of 100% or more. Now the only remaining 100% deals, from Bristol & West and Bank of Ireland, do not qualify as ‘mainstream’ mortgages. They are aimed at first-time buyers and require a homeowner’s parents to guarantee the loan. Typically, today’s buyer must have a deposit of 5% or more. And to secure a competitive deal, 25% is needed, as lenders charge higher rates for those with smaller deposits.
Tags: 100% mortgage, Abbey, axed mortgage deal, last 100% home loan, mortgage deal