Help with raising that big deposit

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AWARD-WINNING Shipways in Rugby is helping first and second time buyers with the launch of a groundbreaking 100 per cent loan to value (LTV) mortgage product.

This new 100 per cent Family Guarantee mortgage will enable buyers to purchase a home without the need for a large deposit by allowing parents, stepparents or grandparents to guarantee up to 25 per cent of the loan.

Over the last two years, the difficulty of raising a large deposit has been the single biggest issue facing first-time buyers.

“The announcement of this new 100 per cent mortgage through Shipways will overcome this issue entirely where buyers have parents, step parents or grandparents who can guarantee the loan against the value of their own property. This is great news for first and second time buyers who are crying out for mortgages which don’t require huge deposits,” said Jonathon Wright, Mortgage Services Consultant for Shipways in Rugby. We believe these buyers have become disenfranchised from the market because of the need for huge deposits, an issue which until now has not been addressed and has hampered housing market recovery.

“It’s often the case that first and second time buyers can afford monthly mortgage payments but don’t have a lump sum of cash for the deposit,” Jonathon added. “Our new 100 per cent Family Guarantee mortgage product will help these individuals obtain their own home, where previously they were blocked out of the market, by making a 25 per cent charge against a property owned by a parent, step parent or grandparent.”

If you are struggling to raise the money for a deposit and would like to discuss the new 100% LTV mortgage with Shipways, call (01788) 574641 or email rugby@sequencehome.co.uk