ICS Building Society has announced the launch of Advance 100, its 100 per cent mortgage offering for first time buyers.
The product will allow first time buyers to borrow the full amount of the purchase price of their home at any ICS new business rate and is subject to standard terms and conditions. Advance 100 provides 100 per cent of the property value at drawdown.
The first mortgage that covers the full price of a property was launched last month by First Active, part of the Royal Bank of Scotland group.
Lenders normally advance a maximum of 92 per cent of the property price, forcing first-time buyers to save an 8 per cent deposit.
The appearance of the 100 per cent mortgage has been described as the biggest development in the mortgage market in years and could unleash a flood of new property hunters on the market.