Aldermore offers 100% LTV mortgage via L&G club
Share
Aldermore has widened the distribution of its 100% LTV mortgage by offering it via Legal & General Mortgage Club.
The Family Guarantee Mortgage has a three-year fixed rate of 6.48% and asks a parent or grandparent to provide a guarantee secured against their property for the loan amount above 75% LTV.
It was initially piloted via Connells Group, Arun Estates and 3mc in September but is now also being offered through Legal & General.
Ben Thompson, managing director of the Legal & General Mortgage Club, says: “The housing market feels like a tough place to be right now if you are trying to get on the property ladder as house prices seem high and it’s more difficult to get a mortgage than it has been in previous years.
“It’s vital therefore that the industry does its best to provide innovative and inclusive products that help reliable first-time borrower realise their dreams of home ownership. This product with Aldermore is one of the ways in which we are seeking to do just that.”
If you enjoyed this article, sign up here to receive daily email updates from Mortgage Strategy and Follow @mortgagestrat
Readers' comments (4)
Anonymous | 7 Nov 2011 3:40 pm
An innovative product but not an attractive product.
Unsuitable or offensive? Report this comment
Anonymous | 7 Nov 2011 4:45 pm
Will achieve more hype then volume.....however, better then nothing, but not by too much!
Unsuitable or offensive? Report this comment
Anonymous | 8 Nov 2011 9:49 am
A foul rate for a low risk product with 75% on the secured property and 25% on the parental home. Not that innovative!!!
Unsuitable or offensive? Report this comment
Anonymous | 8 Nov 2011 10:52 am
Not a great rate maybe but at least someone is prepared to consider lending. Alternative would be a mortgage on the parental property to raise a 25% deposit and then 75% LTV FTB....
Unsuitable or offensive? Report this comment