Is it still easy to get a 100% mortgage?

lilmissmup

Me and OH are looking to buy a house, been renting 4 years together.

He has no debts, i have £3.5k left and once this is paid off we want to buy but to get a £10k deposit will take at least 2 years, happy to save enough for fee etcs but with the "credit crunch" are lenders still doing 100% mortgages if we wanted to go that route?

MortgageMamma

lilmissmup wrote: »

Me and OH are looking to buy a house, been renting 4 years together.

He has no debts, i have £3.5k left and once this is paid off we want to buy but to get a £10k deposit will take at least 2 years, happy to save enough for fee etcs but with the "credit crunch" are lenders still doing 100% mortgages if we wanted to go that route?

No. There are v few 100% mortgages left and those thar are are marketed specifically for professionals e.g. solicitors, doctors etc

herbiesjp

And those 100% schemes that are around will want a squeaky clean credit history

neas

Nope.

Time of free money is over... if you are asking for a 100% mortgage you should ask yourself the question "Can i really afford this house?". Because the answer is No....

Thats why we have returned to a tighter lending criteria than what we've been bingeing on for the past 5 years.

Save a deposit like your parents did... and wait until you can afford a house...Also house prices are going to drop like a rock soon....so wait 2-3 years imo.

norangeduck

Hi, me and my partner got a 100% mortgage deal with northern rock, though this was last may, when northern rock wern't so rocky!

and we can afford the re-payments, without too much restriction, so I expect there are some lenders that will lend 100% - best thing to do would be to see a mortgage adviser (make sure their free) and see if there are any deals around for you.
good luck

lilmissmup

Thanks for replies.

I am sure we could afford repayments, we pay £550 a month rent as it is, we bring in £34k a year (not amazing but not terrible) and without loan payments each month could definitely afford a higher mortgage payment.

Sadly my parents do not own there houses.

Although i do have debt i have a very high credit rating as never missed a payment etc so my debt has actually done me favours in some way.

When it comes to the time will look around and if not save as needs be.

UK007BullDog

lilmissmup wrote: »

I am sure we could afford repayments, we pay £550 a month rent as it is, we bring in £34k a year (not amazing but not terrible) and without loan payments each month could definitely afford a higher mortgage payment.

Although i do have debt i have a very high credit rating as never missed a payment etc so my debt has actually done me favours in some way.

When it comes to the time will look around and if not save as needs be.

Pay off your debts as they could be working against you when the time comes for a mortgage.

Then once you have done that start saving. Unless you are a professional ther is no chance of a 100% mortgage. More like 85% - 95%, hence deposit required of 5% - 15% (cash markets are very tight and will probably continue to be for the next year or even longer).

Just because you have a good credit rating does not mean you can get more money loaned to you. It is going purely on your income and outgoings (loans & CC's included).

Gorgeous_George

neas wrote: »

Nope.

agreed

Time of free money is over... if you are asking for a 100% mortgage you should ask yourself the question "Can i really afford this house?". Because the answer is No....

Money was never 'free' and what people can afford is not known without more in-depth analysis.

Thats why we have returned to a tighter lending criteria than what we've been bingeing on for the past 5 years.

No, the credit crunch is the reason and UK morgages were not the problem. Not even Northern Rock's.

Save a deposit like your parents did... and wait until you can afford a house...Also house prices are going to drop like a rock soon....so wait 2-3 years imo.

Agreed (except the middle bit). Just hope my sale goes through before it is all too obvious.

GG