		<div class="wpcnt">
			<div class="wpa">
				<span class="wpa-about">Advertisements</span>
				<div class="u top_amp">
							<amp-ad width="300" height="265"
		 type="pubmine"
		 data-siteid="111265417"
		 data-section="2">
		</amp-ad>
				</div>
			</div>
		</div><p><a href="http://londonglossy.com/wp-content/uploads/2011/02/northern-rock-to-offer-90-mortgage.jpg"><img class="alignnone size-full" title="Northern Rock is re-entering the 90% mortgage market for the first time since receiving its government bailout" src="http://londonglossy.com/wp-content/uploads/2011/02/min-northern-rock-to-offer-90-mortgage.jpg" alt="Northern Rock is re-entering the 90% mortgage market for the first time since receiving its government bailout"/></a></p>
<p>Northern Rock is re-entering the 90% mortgage market for the first time since receiving its government bailout.</p>
<p>The nationalised bank is launching three fixed rate products for borrowers with only a 10% deposit.</p>
<p>The group said it had decided to move back into the market in order to help hard-pressed first time buyers and people who did not have much equity in their property.</p>
<p>It is speculated that the decision is designed to boost profits at the group through higher-margin lending, ahead of a sale of the business.</p>
<p>The group became infamous for advancing people up to 125% of the value of their home through its Together mortgage before the credit crunch struck.</p>
<p>But it has restricted its lending to loan-to-value ratios of 85% or less since it received government support after running into problems in 2007.</p>
<p>The group&#8217;s capacity to lend was restricted since its nationalisation, as it had to hold a high level of liquid assets, but these requirements have now been loosened, enabling it to expand its mortgage business.</p>
<p>Northern Rock is offering a two-year fixed rate loan at 5.99%, a three-year one at 6.49% and a five-year one at 6.59%. There are no product fees to pay on any of the loans.</p>
<p>But while the fact that another provider is moving into the 90% loan-to-value market is good news for first time buyers, the rates charged on the products are significantly higher than the best deals on the market.</p>
<p>Newcastle Building Society is offering a market-leading two-year fixed rate mortgage at 5.15% with a £894 arrangement fee, while Vernon Building Society has rates of 4.99% and 5.99% on three and five-year deals respectively, both with fees of £495.</p>
			<div style="padding-bottom:15px;" class="wordads-tag" data-slot-type="belowpost">
				<div id="atatags-dynamic-belowpost-69e09127a5ae6">
					<script type="text/javascript">
						window.getAdSnippetCallback = function () {
							if ( false === ( window.isWatlV1 ?? false ) ) {
								// Use Aditude scripts.
								window.tudeMappings = window.tudeMappings || [];
								window.tudeMappings.push( {
									divId: 'atatags-dynamic-belowpost-69e09127a5ae6',
									format: 'belowpost',
								} );
							}
						}

						if ( document.readyState === 'loading' ) {
							document.addEventListener( 'DOMContentLoaded', window.getAdSnippetCallback );
						} else {
							window.getAdSnippetCallback();
						}
					</script>
				</div>
			</div>
Discover more from London Glossy Post
Subscribe to get the latest posts sent to your email.
