Lenders start to ease up on deposit size
Mortgage lenders have started to relax slightly the requirements they need for granting a home loan, figures indicate. Two-thirds of mortgage deals still require borrowers to put down a deposit of at least 25%. However, figures from the financial information service Moneyfacts show a recent rise in the number of deals demanding smaller down-payments. The total number of mortgage deals has risen by 7% in the past month, with more needing only a 15% or 20% deposit. Lenders are starting to respond to competitive pressures, as the pool of customers who can put down a 40% deposit is shrinking, they are being forced to ask for smaller deposits.
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