Only 9 lenders offer 100 per cent deals according to National Homebuyers
Many people may be seeking a fast property sale as it has been revealed that there are only nine lenders in the UK now offering 100 per cent mortgages.
[UKPRwire, Wed Mar 19 2008] Mform has revealed that the decline of the 100 per cent mortgage, so often used by first-time buyers (FTBs), is almost complete.
It means that fewer potential buyers will be able to make it onto the property ladder, which will inevitably bring down house prices.
With this in mind, many homeowners may seek a fast property sale in order to get as much money as possible from the sale of their homes.
"The 100 per cent mortgage isn't dead yet but borrowers who don't have deposits now have significantly less choice and are having to pay more," said Francis Ghiloni from mform.
"Lenders have given up on 125 per cent mortgages.
"With house prices falling there is a real risk of negative equity for anyone taking a 100 per cent mortgage and anyone doing so should compare the deals carefully and rank them on a true cost basis," he added.
Fast house sale expert Julian King says, "As it gets increasingly difficult for FTBs to enter the market, we will continue to see buyers commanding prices on the housing market.
"Homeowners who cannot afford to see the value of their property fall are encouraged to find a quick sale of their property, to limit losses".
Mr King is a director of National Homebuyers, the UK's leading quick property sale firm, guaranteeing to make an offer to purchase any property in the UK, regardless of its condition or location. The company is also the UK leader in Sell and Rent Back solutions.