100% mortgage best rates and income multipliers

maryjane01

Called co op and unfortately they only do 100% mortgages for 1st time buyers. I have left the appointment with the EA mortgage broker till Saturday because I want to hear from the IFA first and if they find a good mortgage I can cancel the booking. The market is quite limited for 100% mortgages for non first time buyers (I guess the logic is if somebody has bought a house before they should have some equity to put into a second!). If we have to go with Northern Rock we will and remortgage as soon as possible.

maryjane01

Hi, We spoke to a broker and we are going to put in an application for the RBS 5.39 2 year tracker (base rate plus 0.89%) with no higher lending charge. I think that might be the one you refered to above MM? Maybe my partner and I are more professional than I thought to qualify! It must be a broker only deal as when I got mortgage literature direct from a branch earlier in the week they did have a higher lending charge on their 100% mortgages.

Our broker said he spoke direct to the underwriter and seems to think everything should be fine. He suggested we go straight ahead and apply to save time rather than applying for offer in principle. He said they are processing applications quite slowly at the moment. He said if we add the application fee to the mortgage and for some reason we are not accepted we wouldn't have to pay (£699), but if we paid upfront we would loose the money. Then we could repay the £699 straight away after completion if we don't want to pay interest on it. Does this sound like good advice?

It sounds like a good deal to us! (especially seeing as we do not fit so many lenders criteria for 100% mortgages eg. not 1st time buyer, complications with owning another BTL property etc.)

Thanks for all your comments and suggestions along the way mortgagemamma.

MortgageMamma

No problem, yes it was the deal I suggested but it said on my sourcing no HLC. Its a good prodiuct but with royal banks service being a bit on the slow side at the moment don't expect a fast completion. Can;t find fault with your brokers advice.

Glad your sorted.

MM