Buy a flat with a 5% deposit
Since the launch of the Help to Buy Scheme more banks and building societies have started to offer 5% deposit mortgages to borrowers looking to purchase a flat.
Over the last few years it has been very difficult to buy a flat with such a low deposit, but market conditions have improved. Trinity Financial has access to a host of lenders offering 5% deposit mortgages, including Virgin Money and NatWest for Intermediaries.
NatWest is offering a 5% deposit two-year fixed rate at 4.99% and it does not have an arrangement fee. This mortgage has a maximum loan size of £570,000 and after the fixed rate period the mortgage will revert to the lenders standard variable rate of 3.99%. The APR is 4.3%.
Some lenders are not quite so keen to lend on new-build flats, for example Yorkshire Building Society and Halifax expect the flat to be second hand. Santander will not offer a 5% deposit mortgages if you're buying a flat as they expect borrowers to put down a 10% deposit.
If you would like help to secure a mortgage, call Trinity Financial on 020 7016 0790.
January 23, 2014