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Only nine UK lenders offer 100% LTV deals

Just nine UK lenders still offer 100% LTV mortgages direct to the public, new analysis from reveals.’s study shows that the number of UK lenders in the 100% LTV market has dropped from 22 six months ago, with only seven lenders selling 100% LTV mortgages in Scotland.

The number of products on offer has also fallen from 162 to just 39.

Rates and fees on 100% LTV deals have increased, despite the Bank of England cutting interest rates.

The lowest rates on offer are now 6.14% compared with 5.99% in October, despite the Bank of England cutting the base rate twice since then. Typical fees have risen from £4,954 to £5,134.

Francis Ghiloni, marketing and business development director at, says: “The 100% LTV mortgage isn’t dead yet but borrowers who don’t have deposits now have significantly less choice and are having to pay more.

“Lenders have given up on 125% LTV mortgages but there is still life in the 100% mortgage market, albeit with higher rates and fees as companies price for risk.”

Ghiloni adds: “With house prices falling there is a real risk of negative equity for anyone taking a 100% mortgage and anyone doing so should compare the deals carefully and rank them on a true cost basis.”

Lenders still in the 100% LTV market include Royal Bank of Scotland, NatWest, Abbey, Bristol & West, Scottish Widows Bank, Stroud & Swindon, Manchester, Ipswich and Tipton & Coseley.


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