< Back to blog

Low-deposit mortgages return Posted On 21 January 2021

 

A four-fold rise in mortgage products for homeowners with a 10% deposit

 

Since last summer there has been a four-fold increase in low-deposit mortgage products available. The low-deposit mortgage products, which offer deposits as low as 10%, will offer some relief to first-time buyers.

 

Last September there were only 44 mortgage products available with a 10% deposit, however, that choice has now risen to 197 products with some big lenders adding their own products in recent weeks. For those with a 15% deposit, there has also been a sharp rise with a huge choice available.

 

During the pandemic, lenders have been grappling with the effects of COVID-19 on their business. Staff shortages, and employees working from home, alongside the mini-property boom towards the end of the year, have meant that many were unable to process applications as fast as before.

 

This led to some of the biggest mortgage lenders withdrawing from the market, until now. With new systems in place, and the ability to work more efficiently from home, some have returned to the lending market with the effect being that the added competition has helped push costs down.

 

Another ray of hope for mortgage lenders, which then passes down to homeowners, is that at the end of December only 130,000 mortgage payment holidays were still in place compared to 1.8 million during the peak of lockdown in June. With mortgages being paid again, mortgage lenders have started looking at new products and re-entered the market to make it more competitive.

 

And with the Stamp Duty Holiday due to be debated in the House of Commons this week, now is the perfect time to talk to us to see what our financial advisors can do for you…

< Back to blog

Connect with us

Recent Posts

Autumn Décor for your Home

Getting your Home ready for Autumn   Nature is doing its part and creating a gorgeous landscape of autumnal colours outside which means it’s time for you to start creating a cosy escape inside your home too. A great place to start is your front door, for two reasons. One: It’s the first glimpse neighbours …

Read more...

Boosting your child’s well-being

Practical steps you can follow   We all have our ups and downs and for children these can be confusing. It is an unusual time for them as they return to school following the summer holidays with many restrictions being lifted. This could cause them to feel uncertain and a little bit lost. Here are …

Read more...

Recycle week

Step it up   Recycle Week is Recycle Now’s flagship annual event which is a celebration of recycling across the nation. Now in its 18th year, it’s the one week of the year where retailers, brands, waste management companies, trade associations, governments and the media come together to achieve one goal: to galvanise the public …

Read more...

Giuseppe’s ready to rise to the Bake Off challenge

Bristol baker heads into Britain’s most daunting tent   The Great British Bake Off is back … and Bristol will be represented! Giuseppe Dell’Anno, a chief engineer, faces 11 other hopefuls including a detective and miniature zoo owner attempting to be crowned Britain’s best amateur baker and he has the pedigree to do well – …

Read more...

Get your DIY on

Top TV shows to inspire you with your Home Renovation   You know you’re growing up when your penchant for reality TV takes a strong swing in the direction of home renovation shows. You’re less bothered about the contestants on Love Island and more concerned with they can stick to such a tight budget on …

Read more...