Compare 90% LTV mortgages
Find a 90% mortgage that works for you
How do 90% mortgages work?
You’ll need to put down a 10% deposit to be eligible for a 90% mortgage. The loan-to-value ratio (LTV) is a measure of the percentage of the property’s value on which you will borrow money. The higher the LTV, the higher your interest rate will usually be – so if you can raise a larger deposit it should help you to save money in the long term.
Say you want to buy a property worth £200,000; you would need a £20,000 deposit to take out a 90% LTV mortgage of £180,000.
A 90% LTV mortgage can be a good option if you’re a first-time buyer with only a 10% deposit, or if you’re remortgaging and don’t have a huge amount of equity in your home.Â
For a 90% mortgage you also need to meet the lender’s eligibility criteria, which usually means having an adequate credit rating and proving that you can afford the monthly repayments. Most lenders will only let you borrow between around three to five times your salary.Â
If you get a 90% mortgage, you’ll then need to make monthly repayments, the amount will depend on various factors including:
The deal you choose
Whether you’re on a fixed-rate or a variable-rate mortgage
The length of the term
How to compare 90% LTV mortgages
Tell us what you need
Let us compare available deals
Get your mortgage with Mojo
What type of 90% LTV mortgages can you get?
If you’re buying a property with a 10% deposit, there are several types of 90% loan-to-value (LTV) mortgages available. The right one for you will depend on your financial situation, how long you plan to stay in the property, and whether you want predictable payments.
Here are the main types:
Fixed-rate mortgages These offer a fixed interest rate for a set period – usually 2, 3, 5 or even 10 years. Your monthly repayments stay the same throughout the deal, which makes budgeting easier.
Tracker mortgages A tracker mortgage follows the Bank of England base rate, plus a set percentage. This means your payments could go up or down depending on interest rate changes.
Discount mortgages These offer a discount on the lender’s standard variable rate (SVR) for a certain time. They tend to have lower initial rates but can be less predictable than fixed-rate deals.
Offset mortgages With an offset mortgage, your savings are linked to your mortgage balance. You only pay interest on the difference, which could reduce how much interest you pay overall.
Interest-only mortgages These are less common at 90% LTV and usually harder to qualify for. You only pay the interest each month, and repay the loan in full at the end of the term. You'll need a solid repayment plan in place.
Before choosing a 90% mortgage, it’s worth comparing deals carefully - especially the interest rate, fees, and any early repayment charges.
Advantages and disadvantages of 90% LTV mortgages
90% mortgages FAQs
Can I get a 90% LTV buy-to-let mortgage?
If you’re buying a property to rent out to others, you’ll need a buy-to-let mortgage. However, it’s unlikely you’ll get accepted for a buy-to-let mortgage if you only have a deposit of 10%, as most buy-to-let lenders require a deposit of at least 25% of the home’s value.
In some cases, you may find a buy-to-let mortgage provider that will lend to you if you have a deposit of 20%. Having a good credit score and a high income will improve your chances of being accepted for such a deal.
Can I get a 90% bad credit mortgage?
You’re more likely to be offered a mortgage and secure the best 90% mortgage rates if you have a good credit score. If you don’t, you’re likely to find it much harder to get a mortgage – particularly if you only have a deposit of 10% of the purchase price.
That said, the likelihood of you finding a mortgage will also depend on how serious your credit issues are and when they occurred.
A specialist lender may prove a better bet than a high street bank or building society.
It may also be worth seeking the help of a mortgage broker who can help you identify lenders that are more likely to accept your mortgage application.
Find out more about bad credit mortgages.
Can I get a mortgage without a deposit?
Although they're much more unusual now compared to before the 2008 financial crash, you may be able to get a mortgage without a deposit.Â
However, most 100% mortgages are guarantor mortgages, which means you can only get one if you can find someone (usually a family member) to act as guarantor and agree to be responsible for covering the mortgage payments if you cannot.Â
For most other mortgages, you need at least a 5% deposit.
What is a higher lending charge and will I have to pay one?
Some lenders add a fee of around 1.5% if your deposit is less than 10%. However, not every lender charges this as a separate fee; some simply charge you a higher interest rate.
About the author
Didn’t find what you were looking for?
Use the links below to find out about other mortgages
We’ve been featured in
