We would like the new Government to look at supporting affordable mortgages and a return to
high loan-to-value mortgage products.
The state will offer guarantees totalling up to PS12 billion on PS130 billion of
high loan-to-value mortgage lending.
accessible
high loan-to-value mortgage market and therefore reflected relatively good comparative value, particularly to foreign investors.
David black from financial analysts defaqto says: "many borrowers with a
high loan-to-value mortgage on an interest-only basis face substantially increased monthly payments if they re-mortgage.
Obviously, if you are hoping to get a
high loan-to-value mortgage then the fact that lenders now take incentives into account may come as an unpleasant surprise.
These loans have even higher debt-to-income ratios than a typical
high loan-to-value mortgage and a three-year subsidy buy-down that reduces the initial interest rate as much as 1.
It will see the state offer guarantees totalling up to PS12 billion on PS130 billion of
high loan-to-value mortgage lending.
David Caught, residential sales and marketing director for English Cities Fund, says: "Large deposits are a major sticking point for first time buyers and
high loan-to-value mortgage products were thin on the ground in 2010.
Another contibutor must be the type of
high loan-to-value mortgage deals which were being offered by lenders in the years leading up to the collapse of the housing market.
