From This is Money:
The figure is 43% more than the £20,980 they would have needed to secure a leading rate last year.
The group said that despite house prices falling, the amount of money people needed as a deposit was rising as lenders became increasingly risk averse and scaled back the loan-to-value ratios they were prepared to advance.
It said people now needed an average deposit of 20.75% of their home’s value to secure a best buy mortgage rate, nearly double the 11.75% they would have needed a year ago.
Popular two-year fixed rate mortgages have seen the biggest increase, with average deposits on these deals soaring from 10% in August last year to 23% now for leading rates.
But people also need an average deposit of 22% of their home’s value to get a leading three-year fix and 20% to get a top five-year one.
Unsurprisingly, there is huge regional variation in the level of deposit that people need to get a best buy mortgage deal.
Homeowners in London need to amass the biggest depos…
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