It’s rare that I feel compelled to put pen to paper about a specific mortgage product but this 90% mortgage is so competitive it jumped out at me.
The initial mortgage rate is 4.59% which represents a discount of 0.6% of the lender’s standard variable rate.
As well as purchases, it is available for remortgages which is quiet unique to the 90% level.
What’s more the mortgage setup fees are very low: with a £200 booking fee; and an arrangement fee of £400. This is because the product includes a free standard valuation on properties up to £250,000, with a contribution of £240 towards the valuation of properties worth more than £250,000. For remortgages, there is a basic legal service up to the value of £250.
Unsurprisingly this 90% mortgage has restricted distribution, including Niche Advice, to help the lender maintain good service.
This product is aimed at clients who will need to obtain a very good credit score as such there can be no adverse credit issues.
The income multiples are:
Single applicants: 4x income
Joint applicants: The higher of 3x joint income OR 4x the first applicant’s income plus 1.25 the second applicant’s income.
So if you are looking for a mortgage with just a 10% deposit or 10% equity then you have just found an excellent one!
To find out more about our range of 90% Loan to Value Mortgages please call us on 020 7993 2044 or alternatively complete the simple enquiry form on the top right hand side of this page.
Payam Azadi is a partner at Niche Advice Ltd who are Independent Financial and Mortgage Advisers in London.