100% mortgage - a loan (mortgage) for the full purchase price of the property.
If you do not have a deposit for a house you will need to borrow 100% of the properties value ergo "100% Mortgage".
There aren't many lenders that offer 100% mortgages and if you were lucky enough to find one you will pay a Higher Lending Charge (HLC).
As well as having to pay a higher rate of interest, The (MIG) mortgage indemnity guarantee premium would be higher also. The Mortgage Indemnity Guarantee Premium is a payment often required by a lender, it protects the lender should you default on the loan and have your house repossessed. The MIG can be added to your mortgage also.
100% Tips
Fixed or capped interest rate mortgages are the best option to protect against rising interest rates. Ideal for first time buyers.
100% Mortgage Pitfalls
Negative equity is the prime consideration when applying for a 100% mortgage, if you are unlucky and house prices fall then you may find yourself owing more than the property is worth.
Finding the best 100% mortgage deal
Patience is the key, many lenders offer different rates and options and some may even offer cash back, if you do not have the time to search for a 100% mortgage for yourself try a mortgage broker.
Of course needing 100% of the purchase price puts you at the mercy of lenders and their interest rates and there aren't many from the top 100 mortgage providers who will do this cheap.
Fixed & capped interest rate mortgages
If you really do need a 100% mortgage fixed & capped interest rate packages are what you should seek so you can take advantage of the current interest rate being low or guarding against interest rate increases.
Fixed Rate Mortgage | Capped Rate Mortgage
100% Buy to Let
WE HAVE BEEN UNABLE TO SOURCE A MORTGAGE PACKAGE THAT OFFERS 100 PERCENT BUY-TO-LET MORTGAGES, BUT WE WILL KEEP YOU POSTED.