The material on this website is for information only
and is not intended as any recommendation or endorsement of any products or companies mentioned. We are not licensed by the FSA to give financial advice, and none of the material on this website constitutes or is intended to constitute financial ...
News
This RSS feed URL is deprecated, please update. New URLs can be found in the footers at https://news.google.com/news
Firms stop giving Port Talbot steelworkers pension adviceBBC NewsAbout 130,000 workers and former workers across the UK with British Steel Scheme pensions have until Friday 22 December to make a decision on future arrangements. Options include, staying with the current scheme - which will fall into the Pension ...and more »
The GuardianNigel Farage claims he is 'skint' and says 'there's no money in ...The GuardianFormer Ukip leader discusses personal life but social media users quick to point out he lives in £4m townhouse.'I'm 53, separated and skint': Nigel Farage reveals the 'price he has paid for Brexit' claiming the referendum ...Daily Mailall 10 news articles »
The GuardianNigel Farage claims he is 'skint' and says 'there's no money in politics'The GuardianHe recently said he would not give up his annual pension from the EU, understood to be worth £73,000 a year. The monthly pre-tax salary of MEPs under the single statute is €8,484.05 (£7,500) a month, according to the European parliament website, the ...and more »
The GuardianBritish Steel pension scheme members 'preyed on' by financial firmsThe GuardianEventually Butler named three of the firms as Active Wealth, Pembrokeshire Mortgage Centre Limited and Mansion Park, but declined to name the fourth. Darren Reynolds, the director of Active Wealth (UK) Ltd, and Clive Howells, managing director of ...and more »
Have you met...
Latest Members:


laraseedfes


wangrui


clibin009


linmangmu


areting


acauos


candywu

 

General News

Email this story to a friend:

Nationwide’s 125% mortgage.

You may have seen reports that the Nationwide Building Society is bringing back 125% mortgages09-07-2009
You may have seen reports that the Nationwide Building Society is bringing back 125% mortgages – that is loans of a quarter more than the value of the properties they’re being used to buy.

These high ‘Loan to Value’ mortgages are blamed by some for getting us into a sticky mess with the housing market in the first place. But if you read the details of this loan there seems no reason to believe that irresponsible lending is making a comeback.

The Nationwide will only offer this mortgage to existing customers who are in negative equity (the value of their home is less than the amount they borrowed to buy it) but need to move. New customers won’t be eligible. They have to put down a deposit of at least 5% of the value of the property they’re buying and can borrow a maximum of 95% of its value.


Nationwide says the 125% loan will be available from the 10 June 2009 for existing customers who:

- -        are in negative equity

- -        need to move home

- -        meet strict lending criteria and

- -        have a good credit record.

Borrowers in these circumstances will be able to transfer part of their existing negative equity with them when they need to move home. Both the main loan and the associated negative equity top-up are restricted to three and five year fixed rate deals:

       *       Main loan up to 95% LTV: 6.73% (3 year fixed) and 7.48% (5 year fixed)
       *       Top-up loan covering 100-125% LTV: 7.23% (3 year fixed) and 7.98% (5 year fixed).

Other lenders are said to be considering offering similar deals to get the market moving again but the Nationwide says it doesn’t expect demand to be high.  
 

Advertise with us  |  Privacy  |  Terms & Copyright                                                                                     Website maintained by USP Networks