100% mortgage fixed for 10 years?

bukup

Can anyone recommend a company who do:

100% mortgage fixed for 10 years?

thanks

kingkano

Northern Rock.

I imagine actually that plenty will. Usually 100% means FTB and usually FTB won't want such a long term fixed rate, but banks would love for them to have it as it helps on affordability/budgeting etc.

luckyfool

Issue with that is that you are fixing for 10 yrs on a 100% rate. As you are borrowing 100% the lender is charging a premium interest rate for it, I would personally not want to tie myself in for that long and would instead take a 2-5 year deal and hope to be able to remortgage onto a 90% or better type deal at the end of that.

Obviously there are pros and cons there and if rates are significantly higher in when you come to remortgage then you may end up having been better on the 10 year deal originally.

Also if there is anyway you can scrape together 5% deposit you will get a better rate. e.g. Accord offer a 10 yr fixed at 5.39% (though with an HLC)

aunat

Northern Rock will do a 'together mortage' which basically means:

If you want to borrow 100k (100%) You'll end up with:

80k Mortgage (Secured)
20k Loan (Unsecured)

All at the same rate 6.49% (OR whatever they charge at the time)

That also means that if you were not to keep up the repayments, and Northern Rock reposses your home - you'll be stuck with the 20k Unsecured part.

dwight-van-man

NR don't do a 10 year Together. Longest term is 5 years. I think anyone looking to do a ten year 100% deal needs broker advise - even with all the Daily Mail readers predicitons of price crashes, over ten years in the same property you are likely to build up some growth in value but as 100% deals are risk priced, you are going to end up paying over the odds.

bukup

Thank you to all of you for your help - very constructive & most helpful