100% Mortgages explained and help available from Shire Direct, even if you have poor credit!
<<< UPDATE - Due to the recent difficulties in the credit markets, these products are currently unavailable, and are likely to remain so for the foreseeable future.
These pages remain for historical purposes as they form part of the mortgage glossary.
Please check back for future updates on their availability. >>>
100% Mortgages provide the borrower with the full purchase price of the property, so no deposit is necessary, and this is obviously particularly useful for First Time Home Buyers, as well as anybody else in a situation where they cannot afford a deposit.
Here we take a more detailed look at 100% Mortgages, and our available help, together with the situations and circumstances we can usually help with. We also explore the potential useful and beneficial aspects of the 100% mortgage, as well as their possible drawbacks.
What is a 100% Mortgage and how do 100% Mortgages work?
So, before we go any further it's probably best that we explain what a 100% Mortgage is, and how 100% Mortgages work, and how they can be useful.
One hundred percent Mortgages will provide the mortgage borrower with the full purchase price of the property they are looking to buy, i.e. 100% Loan to Value.
Unfortunately, with the current market conditions there are no 100% mortgage products available. So you will need to try and find a deposit. This means you will have to either save or get help from some other means (ie help from family or friends).
Typically you will be expected to provide at least 5%, with most Lenders requesting at least 10%-20%. This is especially true of anyone who might have had credit problems either recently or in the recent past. The more deposit you are able to provide, the better choice of products you are likely to have.
Don't forget - you'll also need to provide the attendant costs of purchase, which will include some or all of the following:
Can you assist me with 100% Buy to Let Mortgages?
Well, it's possible, but only usually with your contribution by raising the difference on your existing home, by way of a remortgage or secured loan.
Could you assist me with a 100% Income Self-Certification Mortgage?
Unfortunately we cannot help with 100% Income Self Certification mortgages. The usual maximum is currently 90% loan to valuation.
What about 100% Commercial Mortgages, are Shire Direct able to help?
Again, in theory, this is possible. However, it would require additional security by way of a charge over another property that has available equity.
Leave all the hard work to us...
If you're a first time buyer looking for mortgage funding, we believe we have an even greater duty of care to ensure you understand the complexities of arranging a mortgage. We'll carefully explain the procedures and discuss the various options open to you. We'll help you to complete any forms, organise a valuation and even arrange a solicitor. Our aim is to make your life easier!
Can Shire Direct give me a rapid in-principle decision on my eligibility for a mortgage?
Yes, absolutely!
A quick telephone call to one of our professionally qualified Mortgage Advisors will soon help to put you in the picture, and we can usually provide you with a decision in minutes!
So call us today on Freephone 08000 282 281 (our lines are open from 8am until 10pm, 7 days a week!), we assure you of a warm and non-judgemental welcome! Alternatively, you can also enquire online at any time if you would rather, it's quick and simple, and we'll respond in a timely fashion.
We are certain you'll find our approach to be friendly, professional, helpful and not in the least stuffy! So get in touch today, you'll be glad you did!
So, that concludes our look at 100% Mortgages and how they work, and how Shire Direct can help with a 100% Mortgage even if you've suffered from credit problems. We hope you found it to be useful and we've answered any initial questions you may have had. Remember, we always aim to help in any way we can, and at Shire Direct, all our customer's requirements are always dealt with positively and sympathetically. We're only ever a couple of mouse clicks or a free call away and would be delighted to hear from you!
