LTVs increased on Abbey mortgages

Date:Monday 18th May 2009
Author: Susanna Kavka

Abbey has announced that the loan-to-value (LTV) ratios it allows on its fixed-rate mortgage products have increased.

The lender is raising such ratios from 60 to 70 per cent for its two, three and five-year fixed-rate home loans.

It claimed that the changes will make the mortgages more accessible to consumers.

The rates Abbey charges on its fixed-rate loans will remain the same despite the increases in LTVs.

Nici Audhlam-Gardiner, Abbey director of mortgages, said: "We have increased the LTVs on all our fixed-rate mortgages that were previously available at 60 per cent LTV to 70 per cent LTV, enabling more borrowers to benefit from our most competitive rates on offer."

She added that the deals will not be around for long so borrowers who wish to take advantage of them should do so soon.

Recently, Alliance & Leicester announced it was launching a range of new mortgages aimed at first-time buyers, including one with an LTV of 85 per cent.