100% Mortgages

With a 100% mortgage It was possible to obtain a 100% of the purchase price to cover the full value of your property, without the requirement to put down a deposit or leave spare equity. 100% mortgage deals were very popular in the rising property market prior to 2008, particularly for first time buyers wishing to obtain a firm footing on the property ladder. Often however with a 100% mortgage the interest rate offered was slightly higher than for those borrowing a lower percentage of the value of the property. This was to reflect the increased risk to the lender. 100% mortgages are no longer available.