Aldemore 100% mortgages

I think Creativesaver has mentioned the 100% mortgages also but who
would be a guarantor for any one borrowing over 75% LTV only someone
who has plenty of money I would think.

The banks will ignore it, or if anything they will welcome this as there is always a need for someone to be the dustbin out there, taking all the high risk stuff that they don't really want. 100% mortgages might sound like a great idea for some, but the default rate is just awful. With the uncertainty with property prices you could find yourself with a 120% mortgage if prices fall. Entering into a guarantee is not a good idea at the best of times, but you have to have a really high pain threshold to guarantee a 100% mortgage. Or as magnate says, very rich as well as daft.

I spoke to my FSA registered mortgage advisor friend yesterday and asked him about this offer and his reply was .. 'Oh yes' ... 'it begins with an "A", doesn't it'?

They have all received emails regarding this mortgage facility now being in their mortgage portfolio but the only reason that it's available via introducers is the complex underwriting it needs, especially the need for a close family guarantor with the 25% LTV actually secured on the guarantor's property. Someone actually has to explain that there are actually two properties at risk in the case of serious default. I cannot see many people rushing for this, even the professional introducers!

I am a professional mortgage consultant. We offer the Aldermore mortgage deal, and is popular. Wojtek's comments are incorrect as the charge is split between the borrower and a parent to avoid negative equity. the product is designed for parents who want to help their children, but don't have thousands of pounds lying around for a deposit gift for their children.

Someone's got to do something to get the banks to lend to help some first time buyers for a start - I see this move by Aldermore as positive - Aldermore are being responsible in that the underwriting criteria is strict