Latest News
Northern Rock to Resume First Time Buyer Lending
Northern Rock, the state owned lender, has announced plans to start lending again to first time buyers with a 10% deposit.
The government announced it was making £5bn available to Northern Rock to lend to first time buyers at a maximum loan-to-value (LTV) rate of 90%. Many 90% LTV deals have dried up in the current credit-crunched market leaving first time buyers and others with low deposits with little choice in the market.
Tony Rice, from Bedfordshire-based specialist mortgage brokers TMP Mortgage Zone, said: "There are some deals for buyers with just a 10% deposit, but many of these are only available at high interest rates just below or above 7%. The new Northern Rock mortgages will come onto the market in March and it will be interesting to see what interest rate they are offering, and whether existing customers of Northern Rock on their standard variable rate can move to the new deals."
[ 20-02-2009 ]
