Compare 90% LTV mortgages
Why are you looking for a mortgage?
Hinckley & Rugby Building Society 2 year discount cashback remortgage
Repayment mortgage of £252,000 over 25 years, representative APRC 5%. Repayments: 24 months of £1,080.42 at 2.1% (discount), then 36 months of £1,342.05 at 4.24% (discount), then 240 months of £1,540.31 at 5.89% (variable). Total amount payable £444,917.28 which includes interest of £191,918.28. Arrangement Fee (£199) paid upfront. Completion Fee (£800) with an option to add to the loan. Fees are assumed to be paid upfront. Other fees may apply.
Eligibility
You must meet the following criteria in order to get this loan:
Are resident of England
Are resident of Wales
Are older than 18 years
Available Direct.
Max age at application: 80 years
Max age at term end: 85 years
Minimum income £10,000
Remortgage only.
Additional criteria may apply.
Platform 2 year fixed cashback mortgage
Repayment mortgage of £252,000 over 25 years, representative APRC 4.1%. Repayments: 26 months of £1,104.05 at 2.29% (fixed), then 274 months of £1,355.45 at 4.34% (variable). Total amount payable £401,097.60 which includes interest of £148,098.60. Product Fee (£999) with an option to add to the loan. Early repayment charges apply. Fees are assumed to be paid upfront. Other fees may apply.
Eligibility
You must meet the following criteria in order to get this loan:
Are resident of England
Are resident of Scotland
Are resident of Wales
Are older than 18 years
Max age at term end: 75 years
Minimum income £15,000
Available via brokers only.
Additional criteria may apply.
Hinckley & Rugby Building Society 2 year fixed cashback remortgage
Repayment mortgage of £252,000 over 25 years, representative APRC 5%. Repayments: 24 months of £1,105.30 at 2.3% (fixed), then 36 months of £1,344.27 at 4.24% (discount), then 240 months of £1,542.85 at 5.89% (variable). Total amount payable £445,403.92 which includes interest of £193,204.92. Arrangement Fee (£199) paid upfront. Early repayment charges apply. Fees are assumed to be paid upfront. Other fees may apply.
Eligibility
You must meet the following criteria in order to get this loan:
Are resident of England
Are resident of Wales
Are older than 18 years
Available Direct.
Max age at application: 80 years
Max age at term end: 85 years
Minimum income £10,000
Remortgage only.
Additional criteria may apply.
Vernon 2 year discount
Repayment mortgage of £252,000 over 25 years, representative APRC 4.8%. Repayments: 24 months of £1,111.57 at 2.35% (discount), then 276 months of £1,472.77 at 5.2% (variable). Total amount payable £434,161.20 which includes interest of £181,162.20. Product Fee (£999) with an option to add to the loan. Early repayment charges apply. Fees are assumed to be paid upfront. Other fees may apply.
Eligibility
You must meet the following criteria in order to get this loan:
Are resident of England
Are resident of Wales
Are older than 18 years
Available Direct.
Max age at term end: 85 years
Additional criteria may apply.
Coventry Building Society 2 year fixed
Repayment mortgage of £252,000 over 25 years, representative APRC 4.1%. Repayments: 26 months of £1,124.18 at 2.45% (fixed), then 36 months of £1,312.30 at 3.99% (discount), then 238 months of £1,369.67 at 4.49% (variable). Total amount payable £403,451.94 which includes interest of £150,452.94. Product Fee (£999) with an option to add to the loan. Early repayment charges apply. Fees are assumed to be paid upfront. Other fees may apply.
Eligibility
You must meet the following criteria in order to get this loan:
Are resident of England
Are resident of Scotland
Are resident of Wales
Are older than 18 years
Available Direct.
Max age at term end: 75 years
Additional criteria may apply.
Leeds Building Society 2 year fixed
Repayment mortgage of £252,000 over 25 years, representative APRC 4.6%. Repayments: 27 months of £1,126.71 at 2.47% (fixed), then 36 months of £1,318.27 at 4.04% (discount), then 237 months of £1,464.07 at 5.29% (variable). Total amount payable £425,862.48 which includes interest of £172,863.48. Product Fee (£999) with an option to add to the loan. Early repayment charges apply. Fees are assumed to be paid upfront. Other fees may apply.
Eligibility
You must meet the following criteria in order to get this loan:
Are resident of England
Are resident of Scotland
Are resident of Northern Ireland
Are resident of Wales
Are older than 18 years
Available Direct.
Max age at term end: 85 years
Additional criteria may apply.
HSBC 2 year fixed
Repayment mortgage of £252,000 over 25 years, representative APRC 3.4%. Repayments: 28 months of £1,129.25 at 2.49% (fixed), then 272 months of £1,255.20 at 3.54% (variable). Total amount payable £374,032.40 which includes interest of £121,033.40. Booking Fee (£999) with an option to add to the loan. Early repayment charges apply. Fees are assumed to be paid upfront. Other fees may apply.
Eligibility
You must meet the following criteria in order to get this loan:
Are resident of England
Are resident of Scotland
Are resident of Northern Ireland
Are resident of Wales
Are older than 18 years
Available Direct.
Max age at term end: 80 years
Additional criteria may apply.
Skipton 2 year fixed
Repayment mortgage of £252,000 over 25 years, representative APRC 4.1%. Repayments: 26 months of £1,129.25 at 2.49% (fixed), then 36 months of £1,268.53 at 3.64% (discount), then 238 months of £1,382.30 at 4.64% (variable). Total amount payable £405,009.98 which includes interest of £152,014.98. Completion Fee (£995) with an option to add to the loan. Early repayment charges apply. Fees are assumed to be paid upfront. Other fees may apply.
Eligibility
You must meet the following criteria in order to get this loan:
Are resident of England
Are resident of Scotland
Are resident of Wales
Are older than 18 years
Available Direct.
Max age at term end: 80 years
Additional criteria may apply.
AIB (NI) 2 year discount cashback remortgage for properties in Northern Ireland
Repayment mortgage of £252,000 over 25 years, representative APRC 3.6%. Repayments: 24 months of £1,130.51 at 2.5% (discount), then 276 months of £1,289.82 at 3.8% (variable). Total amount payable £383,122.56 which includes interest of £131,122.56. Fees are assumed to be paid upfront. Other fees may apply.
Eligibility
You must meet the following criteria in order to get this loan:
Are resident of Northern Ireland
Are older than 18 years
Available Direct.
Max age at term end: 65 years
Minimum income £8,000
Remortgage only.
Available in branch only.
Additional criteria may apply.
Santander 2 year fixed cashback remortgage
Repayment mortgage of £252,000 over 25 years, representative APRC 3.3%. Repayments: 27 months of £1,139.42 at 2.57% (fixed), then 273 months of £1,233.07 at 3.35% (variable). Total amount payable £368,391.45 which includes interest of £115,392.45. Product Fee (£999) with an option to add to the loan. Early repayment charges apply. Fees are assumed to be paid upfront. Other fees may apply.
Eligibility
You must meet the following criteria in order to get this loan:
Are resident of England
Are resident of Scotland
Are resident of Northern Ireland
Are resident of Wales
Are older than 18 years
Available Direct.
Max age at term end: 75 years
Remortgage only.
Additional criteria may apply.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE
Guide to 90% LTV mortgages
Last updated: 7 May 2021
A 90% LTV mortgage is a higher loan-to-value ratio mortgage that is more readily available than 95% or 100% LTV mortgages, but how do they work and what should you be aware of?
What is a 90% LTV mortgage?
A 90% loan-to-value ratio mortgage refers to the amount you are borrowing (90%) in relation to the value of the property. The difference between the two, the 10%, is the deposit you need to save and provide in order to secure the mortgage. The higher the ratio between the borrowing amount and the value of the home, the higher the risk for the lender. The risk is often reflected in the interest rate offered on the mortgage.
Should I get a 90% mortgage?
A 90% LTV mortgage is typically more expensive than a lower ratio mortgage because of the risk to the borrower.
To compensate for this risk the lender will typically charge you a higher interest rate, which will add up over the lifetime of the mortgage.
Therefore if you can afford a lower interest rate by putting forward a larger deposit you should consider it.
Pros and cons of a 90% mortgages
One advantage of a 90% LTV mortgage is that you will only need to provide a 10% deposit, which can help buyers to get on the property ladder sooner rather than later. The interest rates available are likely to be lower than 95% LTV mortgage rates, although if you can save an even bigger deposit, you may be able to access even better rates. A wide range of lenders tend to offer 90% LTV mortgages in the UK which give you plenty of options.
The downside of a 90 percent mortgage is that the criteria you have to meet in order to secure a mortgage are likely to be stricter than if you were applying for a lower LTV ratio. Lenders are very wary about the risk of negative equity and when you take out a 90% LTV mortgage, a 10% drop in house value could result in the property being worth less than the loan value. For that reason, it can also be challenging to get a 90% LTV mortgage on a new build property so speak to a mortgage specialist in these circumstances.
Is a 90% LTV mortgage suitable for me?
While taking a lower LTV ratio mortgage will probably lead to a lower interest rate and hence lower costs over the lifetime of the mortgage, you should consider your savings.
The costs of buying a property include stamp duty, solicitor’s fees and mortgage arrangement fees.
Furthermore a house can lead to many unexpected costs, like repairs or fixing small problems around your property. Therefore you should always keep a portion – typically 5% to 10% of the total property value – in reserve.
Are 90% mortgages available for first time buyers?
For first time buyers, the choice of mortgages available will depend on a number of factors including the deposit you have available and the amount you are able to borrow. Ideally, aim to save a minimum of 10% mortgage deposit which will give you plenty of options, although remember that your affordability will determine how much you can borrow. Lenders will assess your affordability based on your salary along with your expenses and any debt you may have. The combination of the deposit and the amount a lender is willing to give you will determine the price of a property that you can afford.
Can you get 90% buy-to-let mortgages?
Typically, the eligibility criteria for buy to let mortgages require borrowers to have a minimum of 20% deposit, often 25% which is an 80% or 75% LTV ratio. You are unlikely to be able to find a 90% buy-to-let mortgage for this reason, as lenders have strict affordability criteria for both standard and buy-to-let mortgages. You can find out more about buy-to-let mortgages here.
Are 90% mortgages expensive?
Cheap mortgages will always be mortgages with the lowest LTV ratios as the lower the loan to value ratio, the lower risk the lender considers you as a borrower. Whatever your LTV, you can increase your chances of being offered a competitive interest rate by ensuring that you have a good credit score and your credit history is up to date.
How to find the cheapest mortgage rates
You can use our 90% LTV mortgage calculator to help find the cheapest mortgage offers available, however it’s worth remembering to consider all factors and not simply the cheapest option when looking for the best mortgage deal. Think about whether you want a fixed, variable or tracker mortgage rate - depending on the option you choose, the cheapest mortgage may not be the best option for your needs. Also pay attention to mortgage arrangement fees, as cheap mortgages often have hefty fees which can add to your overall costs.
Looking for a different LTV?
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