0121 550 4151The Government has recently announced a new mortgage guarantee scheme.
This means that buyers who can’t get together a 10% deposit may be able to purchase with just a 5% deposit.
Many lenders will only lend 90% of the value of the home you want to buy. But this scheme backs mortgages from 91% up to 95%.
Borrowers are still responsible for the repayments.
But if they fail to meet repayments, the Government will cover some of the lender’s loss.
The scheme is available to first-time buyers and home movers purchasing a primary residence in the UK.
Borrowers apply for a mortgage in the usual way to lenders who opt to participate in the scheme.
Buyers should always take expert financial advice. The mortgages offered under this scheme won’t suit everyone.
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