Compare 50% LTV Mortgages

How to compare 50% LTV mortgages with NerdWallet

It couldn’t be easier to compare 50% LTV mortgages with NerdWallet.

Simply click on the button below and answer a short series of questions about your current situation.

These will include the reason you are comparing mortgages – whether you are a first-time buyer or are remortgaging, for instance – the details of any existing mortgage, the value of the property you plan to mortgage, and what you are looking for from your new mortgage.

Our super-speedy comparison tool will then take a look at the entire mortgage market, and select the providers and offers that are most tailored to your needs.

From there, you can compare interest rates, APRCs, initial payments and more, before applying directly or through a broker.

What do I need to be eligible for a 50% LTV mortgage?

First and foremost, to be eligible for a 50% LTV mortgage, you will need a deposit worth at least 50% of the value of the property you intend to purchase.

Other than that, you will need to meet the mortgage provider’s lending criteria. Although it can vary from lender to lender, it tends to include:

• Proving your deposit comes from an approved source.
• Passing the lender’s affordability and sustainability criteria, based on your income and expenditure.
• Supplying the required proofs of ID, income and evidence of deposit.
• A successful credit check.
• Being within the maximum and minimum age requirements.

Not only will these factors affect whether or not your mortgage application is successful, they will also help determine the terms of your mortgage.

What are the advantages of a 50% LTV mortgage?

There are a number of advantages to opting for a 50% deposit mortgage. These include:

• The ability to pay your mortgage off quicker, as the amount of money you are borrowing is reduced.
• The choice of lower monthly repayments.
• The possibility of accessing lower mortgage interest rates, as you are seen as less risky by lenders.
• A better chance of a successful mortgage application if you have bad credit, though you may still have to pay higher interest rates.

What are the disadvantages of a 50% LTV mortgage?

A 50% LTV mortgage would be a substantial sum of money to meet the deposit criteria– an option that may only be available to a select few, especially when it comes to first-time buyers.

But don’t worry – you can still get a mortgage with a much smaller deposit. This can sometimes be as low as 5% of the overall value of the property.

You should also avoid spending all of your savings just to get a 50% LTV mortgage. If you do this, you may not have enough money left over if you need to make improvements to your property, or if you encounter any financial emergencies.

50% Deposit Mortgages FAQ