Lockhart Grey Financial Planning Ltd

If you are on a tight budget you may need a 100% mortgage.  Lockhart Grey Financial Planning can help you find a 100% mortgage, when available, for the full purchase price of the property.

However, only a relatively small number of mortgage lenders in the UK are prepared to offer a 100% mortgage.  So your choices are very limited.  Lockhart Grey Financial Planning will advise you on the right lender and product that will suit your own individual circumstances.

Is the 100% mortgage route for you?  100% mortgages, when available, provide a viable means of buying a home, however there are a number of negative issues to consider.

Unfortunately, for those first-time buyers looking for a 100% mortgage, lenders may charge a higher interest rate and seek some kind of guarantee. This guarantee is known as a Higher Lending Charge.  The Higher Lending Charge is paid by you, but insures the lender against you defaulting on your mortgage. It offers you no protection whatsoever.  This charge reflects the increased risk to the lender when the loan is a large percentage of the value of the property. You may choose to add any Higher Lending Charge to your mortgage, however this will increase the overall mortgage borrowings and amount payable.

100% mortgages are not suitable for everybody’s needs.  If house prices fall you may end up owing more than your house is worth, i.e. negative equity.  Lockhart Grey Financial Planning will provide you with the professional advice before you decide on which type of mortgage is most suitable for your needs

For a 100% mortgage, when available, please fill in our quick enquiry form, or call us for a free, no obligation, consultation. You may also find our mortgages glossary useful to explain some of these terms.

Remember it is in lenders’ interest to provide you with a mortgage, as long as they do not feel you are stretching yourself.  They want your business.  A mortgage is generally a lower risk to them, compared to a personal loan, or a credit card, as they always have the house to “secure” the loan against if you are unable to make your payments.