100% mortgages

[hollyblueivy]

Is this still a thing? Is it hard to get?

They haven’t been a thing for a long time as far as I’m aware. 5% is the min deposit.

There was a lot of media reporting Skipton Building society doing a 100% mortgage earlier this years. It’s called a track record mortgage and is linked to your rent so not as simple as a ‘normal mortgage’ lending 100%

Do you know how it works?

www.skipton.co.uk/mortgages/track-record-mortgage

Not a clue, sorry.

I think it’s to do with your repayments should be similar to your rent. So if you can prove you’re able to be rent, you can pay a mortgage. But I think the interest rates are quite high so not sure how what’s accounted for

I looked at getting a track record mortgage and it didn't feel like it made much sense. They tested what we could get for the extortionate rent we evidently are able to pay, then did a normal mortgage affordability test and whichever was the lower was what we would be able to borrow (so that was the normal mortgage amount, not the amount we had a 'track record' of paying as rent).

Your deposit had to be lower than 5% so it was a 96%-100% LTV so basically you needed an even cheaper property than a 95% LTV for this to work, which, where I am (London) is clearly unrealistic. It just felt like PR to us.

Maybe those in other parts of the country have had better experience?