Latest: Mortgage News

Mortgage fraud increases by 23 per cent

Mortgage fraud increases by 23 per cent

Information services company Experian has reported a 23 per cent increase in the number of people giving false information in order to obtain a mortgage. In the second quarter of this year, 39 out of every 10,000 mortgage applications were found to be fraudulent, compared with 32 in the 2011 second quarter. Lenders have tightened […]

August 22, 2012 More
Post Office stepping up mortgage offering

Post Office stepping up mortgage offering

The Post Office is expanding its mortgage service with the introduction of mortgage specialists in its branches. Mortgages have been available from the Post Office since 2009, but applications have had to be made online or over the phone. It currently offers mortgage with deposits as low as 10 per cent and plans to enhance […]

August 9, 2012 More
Tesco to offer club card points on mortgages

Tesco to offer club card points on mortgages

Retailer Tesco is launching mortgage products through Tesco Bank, allowing Tesco Clubcard holders to earn points on repayments. It is offering mainly fixed-rate deals, with interest rates ranging from 3.19 per cent to 5.09 per cent and a minimum deposit of 20 per cent. With many fixed-rate deals currently offering interest rates of below 3 […]

August 6, 2012 More
First-time buyers missing out on mortgage cuts

First-time buyers missing out on mortgage cuts

There is concern that recent cuts in mortgage rates are focused on borrowers with large deposits rather than first time buyers. The government is launching its Funding for Lending scheme to help reduce the cost of mortgages, but although rates were cut on 200 mortgage products in July, the cuts favoured those with deposits of […]

July 30, 2012 More
Barclays and Nationwide launch new mortgage deals

Barclays and Nationwide launch new mortgage deals

Following the announcement of the government’s £80 billion Funding for Lending scheme, Barclays and Nationwide have cut their mortgage rates. The mortgage market has been shrinking for some time, with lenders tightening their lending criteria and demanding high deposits on home loans. Last month the number of mortgages approved for house purchases fell by 11 […]

July 26, 2012 More
Mortgage lending down 11% in June

Mortgage lending down 11% in June

Mortgage approvals fell to their lowest level for at least the last 15 years last month, according to the British Bankers’ Association (BBA). There were 51,610 mortgage approvals in June, representing a total value of £6.5 billion. The number of mortgages approved for house purchases fell to 26,269 during the month, 11% lower than in […]

July 24, 2012 More
Mortgage lending 5% down in June

Mortgage lending 5% down in June

The mortgage market continues to be volatile, with lending falling by 5 per cent in June, after a sharp rise in May. According to the Council of Mortgage Lenders a total of £11.9 billion was lent to first-time buyers and those moving house, last month. In May, gross mortgage lending totalled £12.5 billion. Lending for […]

July 20, 2012 More
Funding for lending scheme to launch next month

Funding for lending scheme to launch next month

The Treasury and the Bank of England have revealed details of their multi-billion pound ‘funding for lending’ scheme which will begin in August and run for 18 months. The initiative is designed to make it easier and cheaper for businesses and individuals to secure loans and mortgages. It is hoped that it will help to […]

July 13, 2012 More
Mortgage lending increased by a third in May

Mortgage lending increased by a third in May

Mortgage lending showed a “healthy improvement” in May despite continuing economic uncertainty and problems in the eurozone. The Council of Mortgage Lenders (CML) reported a 33 per cent increase in the number of new loans granted to home buyers, compared with the previous month. 48,300 new home loans were granted in May 2012, an increase […]

July 12, 2012 More
Growth in mortgage market at two-year low

Growth in mortgage market at two-year low

Growth in the mortgage market has slowed to its lowest level since July 2010, according to Connells Survey and Valuations’ latest Housing Market Activity Report. Although the total number of residential valuations increased by 16 per cent last month, this represents an increase of just 2 per cent on a year-on-year basis. The number of […]

July 6, 2012 More
Shelter reveals repossession hotspots

Shelter reveals repossession hotspots

Homeowners in the London Borough of Barking and Dagenham are most at risk of having their home repossessed, according to housing charity Shelter. There were around eight possession claims per 1,000 homes in Barking and Dagenham in 2011/12, twice as high as the average for the UK as a whole. Shelter’s latest “Repossession Risk Hotspots” […]

June 29, 2012 More
Mortgage approvals and lending fall

Mortgage approvals and lending fall

Borrowers were more cautious in May according to figures from the British Bankers Association (BBA) which showed an increased focus on reducing debt. Mortgage repayments were higher than lending for the first time, according to the BBA’s figures. Net mortgage lending fell by £73 million in May, the first time it has gone into reverse […]

June 28, 2012 More
Mortgage lending 24% higher in May

Mortgage lending 24% higher in May

Mortgage lending increased by 24 per cent to £12.2 billion in May, after a fall in April, according to the Council of Mortgage Lenders (CML). The figure was 13 per cent higher than a year ago. However, when the effect of the end of the stamp duty holiday on first-time buyer properties is excluded, the […]

June 22, 2012 More
Mortgage lending fell 30% in April

Mortgage lending fell 30% in April

Mortgage lending fell by 30 per cent in April, with just 36,000 home loans approved, according to the Council of Mortgage Lenders (CML). The fall followed the end of the stamp duty concession for first-time buyers, and loans to this group fell by nearly a half, to 12,600 in April. Many first-time buyers rushed to […]

June 15, 2012 More
Mortgage scarcity contributes to fall in house sales

Mortgage scarcity contributes to fall in house sales

The Royal Institute of Chartered Surveyors (RICS) has recorded a 40 per cent fall in house sales since 2007, and says that the lack of affordable mortgages has been a key factor in the decline. RICs’ agents have reported around 15 sales per surveyor per month, compared with 25 sales per month in 2007 when […]

June 12, 2012 More
FSA rules out ban on interest-only mortgages

FSA rules out ban on interest-only mortgages

Speculation that the Financial Services Authority would ban interest-only mortgages as part of its Mortgage Market Review has proved to be unfounded. However, lenders will be required to monitor the performance of the investment product taken out by the customer to repay the mortgage at the end of its term. Investments are performing poorly because […]

May 25, 2012 More
Turmoil in Eurozone increases mortgage costs

Turmoil in Eurozone increases mortgage costs

The Bank of England has warned that the ongoing Eurozone crisis is pushing up the cost of borrowing on wholesale financial markets. This is making it more expensive for lenders to fund mortgages and they are passing the costs on to customers by increasing their mortgage rates. “In the absence of falls in funding costs, […]

May 18, 2012 More
Mortgage lending to first-time buyers up 74% in March

Mortgage lending to first-time buyers up 74% in March

Mortgage lending to first-time buyers soared in March, as house-buyers rushed to buy their first home before the end of the stamp duty holiday. Properties below the value of £250,000, purchased before 24 March, were exempt from the 1 per cent tax. Twenty-four thousand mortgages were approved for first-time buyers in March, a 74 per […]

May 16, 2012 More
Co-operative Bank ends interest-only mortgages

Co-operative Bank ends interest-only mortgages

The Co-operative Bank will stop offering interest-only mortgages from next Tuesday, but the decision will not affect existing customers. A recent report by the Independent on Sunday suggested that a quarter of a million people with interest-only mortgages will reach retirement age by the end of the decade with a substantial capital debt still to […]

May 4, 2012 More
Mortgages more expensive following SVR increase

Mortgages more expensive following SVR increase

Mortgages are more expensive for one million homeowners after the Halifax, the Co-operative Bank, Clydesdale Bank and Yorkshire Bank all increased their standard variable rate (SVR) yesterday. Many mortgages revert to the SVR when a fixed-rate deal comes to the end of its term. Lenders are increasing their SVRs due to the higher cost of […]

May 2, 2012 More