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70% Mortgage with 30% Deposit
- Ideal for the credit crunch -
For mortgage applications with good credit or bad credit the more equity (for a remortgage) or deposit (for a purchase) you have will make applying for a mortgage or remortgage much easier as the new lender will be more inclined to offer you a mortgage if their is equity in the property once the mortgage completes.
A 70% mortgage, for people with credit problems, will open up a lot more options with regards to which lenders they can approach and what sort of mortgage products are available as it will be a less risky proposition for a mortgage lender than a higher LTV product. The amount of deposit or equity you have ofset against the property value is called the Loan To Value or LTV.
For people with bad credit or adverse credit, a 70% mortgage will almost certainly allow defaults and CCJ's and will more than likely allow a couple of missed payments to be registered on your credit file.
Deposit & borrowing needed for a 70% mortgage?
| Property Value | Mortgage Deposit at 70% LTV (30% Deposit) |
Mortgage Borrowing at 70% LTV |
|---|---|---|
| £200,000 | £80,000 | £120,000 |
| £210,000 | £63,000 | £147,000 |
| £220,000 | £66,000 | £154,000 |
| £230,000 | £69,000 | £161,000 |
| £240,000 | £72,000 | £168,000 |
| £250,000 | £75,000 | £175,000 |
| £260,000 | £78,000 | £182,000 |
| £270,000 | £81,000 | £189,000 |
| £280,000 | £84,000 | £196,000 |
| £290,000 | £87,000 | £203,000 |
| £300,000 | £90,000 | £210,000 |
| £350,000 | £105,000 | £245,000 |
| £400,000 | £120,000 | £280,000 |
| £450,000 | £135,000 | £315,000 |
| £500,000 | £150,000 | £350,000 |
You may also want to know the likely cost of a new mortgage or remortgage, with that in mind we have payment matrix showing the payments for mortgages ranging from £160,000 to £200,000 and mortgages from £210,000 and £250,000, we will be adding more as soon as we are able.
