You are here: Home - News -

Borrowers with large deposits take greater share of market – E.surv

by:
  • 21/08/2018
  • 0
Borrowers with large deposits take greater share of market – E.surv
Borrowers with a deposit of 40% or more are claiming a larger chunk of the market, as the proportion of high loan-to-value (LTV) mortgages shrinks, according to data.  

 

Around a third of mortgages were at 60% LTV in July, an increase from the previous month, E.surv data showed.

At the same time, small deposit borrowers fell to 22.1% of mortgages down from 23.4% in June.

London had the greatest number of large deposit borrowers in July, with more than 40% of mortgages at 60% LTV or lower.

Just 11% of mortgages in the capital went to those with a small deposit, with the rest of the loans being taken by mid-market borrowers.

Northern Ireland had the largest percentage of mortgages at a high LTV, with around a third of loans going to these borrowers.

It was a similar story in Yorkshire, with 32% using a small deposit, the data showed.

However, the North West was the only region to see more loans go to those with a small deposit rather than a large deposit.

Richard Sexton, director at e.surv (pictured), said: “Those with more cash to splash took a bigger share of the mortgage market this month, yet there are still great opportunities for small deposit borrowers to get onto the ladder.

“Low rates continue to tempt new borrowers into the market.

“The London market is once again dominated by those with large deposits or high levels of equity in their existing home, while the North West has more first-time buyers and small deposit borrowers.

“In general, those areas closest to London require more sizeable deposits for borrowers to get onto the ladder while northern areas often see a greater number of first-time buyers.”

There are 0 Comment(s)

Comments are closed.

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.

Profiles

Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.

Marketwatch

Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.

Poll

Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
Read previous post:
Jane Simpson
TBMC adds Bath Building Society to lending panel

Buy-to-let specialist TBMC has added Bath Building Society to its lending panel to develop its buy-to-let mortgage offering.

Close