Abbey pulls the plug on 100% mortgages

Abbey has become the last major UK lender to pull out of the 100% mortgage market.

Two years ago first-time buyers had more than 120 such deals to chose from with some lenders even offering 125% advances.

Abbeys decision follows close on the heels of Barclays/Woolwich which last week withdrew most of its popular fixed-rate deals from the market, though some of those deals might be reintroduced later this week, albeit at higher rates.
Last week First Direct withdrew all its mortgages further signalling a shutting down of the market as lenders look to protect margins and reduce their exposure during the credit crises.