There are more signs of the mortgage market starting to stabilise as Clydesdale/Yorkshire Bank brings back its 90% LTV mortgage for first time buyers. The three-year fixed rate mortgage has an initial rate of 2.39%, reverting to 4.55%. This mortgage has no product fee, free valuations and offers £250 cashback.
However, those looking for a mortgage with only a 5% deposit are likely to still face lengthy delays as mortgage lenders still require physical valuations at 95% LTV. Research from Moneyfacts shows that only HSBC currently offers a 90% LTV mortgage that will use automated valuations for both house buyers and those remortgaging. Aldermore Mortgages and Post Office Money offer mortgages at 85% LTV for those buying a home or wanting a remortgage, with Accord (Yorkshire Building Society’s brand for mortgage brokers only) offering remortgage only.