News Tag: Mortgage News
March 8, 2010
Home buyers with a zero to 40% deposit currently have 1,798 mortgage deals to choose from, according to Moneyfacts.co.uk.
Researchers at the financial website have registered a 6% rise in the number of home loans on offer in the past month, taking the total up 68% year-on-year.
While those with 5% or less to put down continue to struggle, the number of mortgages ...
Rise in house purchase mortgage deals
by Gill Montia
February 17, 2010
Lenders are backing the proposed regulation of the second-charge mortgage market.
Responding to a Treasury consultation, the Council of Mortgage Lenders (CML) has also said it wants to ensure borrowers are sufficiently protected when mortgage books are sold on.
On second-charge lending, the body has restated its longstanding position that all residential mortgage lending should be regulated by the Financial Services Authority (FSA). ...
Lenders back regulation of second-charge mortgages
by Gill Montia
February 4, 2010
Santander has launched new two year tracker and fixed rate mortgage products, and has reduced the rate on its five year fixed rate mortgage.
The two year mortgages are available to both first time buyers and home-owners at up to 70% loan-to-value (LTV)
Interest on the fixed-rate mortgage is 3.44%, while interest on the tracker mortgage is 2.49%.
The five year mortgage is available at ...
Santander announces new two-year mortgages
by David Masters
February 2, 2010
UK lenders sanctioned an additional £1.2 billion in mortgages in December 2009, according to Bank of England statistics.
The figure fell below the revised November total of £1.6 billion, but remained above the previous six-month average of £0.9 billion.
The annual rate of growth slipped to 0.9% (1% in November) but the three-month-on-three month measure held steady at 1.2%, when ...
December dip in house purchase mortgage approvals
by Gill Montia
January 14, 2010
Endowment mortgage holders with Aviva (now incorporating Norwich Union) are at risk of not being able to pay off their mortgages when policies mature.
In publishing its 2010 bonus rates, the company has let it be known that nine out of 10 of its mortgage endowment policies are expected to fall short of projections.
In 2009, the insurer's with-profits fund produced a return ...
Aviva mortgage endowment policies behind target
by Gill Montia
October 22, 2009
Despite a dip in mortgage lending during the third quarter of 2009, banks and building societies expect the availability of mortgages to improve in the months ahead.
According to the Bank of England's latest Trends in Lending report, a net balance of lenders expect mortgage availability to rise "somewhat" during the final quarter of the year.
Optimism among lenders apparently reflects "perceptions" of a ...
Lenders optimistic on mortgage availability
by Gill Montia
October 5, 2009
An organisation set up to represent property owners and investors, is calling for the regulation of buy-to-let mortgages.
In a new report entitled "Responsible Regulation", the British Property Federation (BPF) says such a move would lessen the risk of another "black hole of irresponsible lending" occurring in the future.
According to the BPF, the Financial Services Authority (FSA) and Treasury were aware ...
Regulation of buy-to-let mortgages close at hand
by Gill Montia
October 3, 2009
Nationwide has cut rates on a range of its mortgages and is offering a two-year fixed-rate deal at 3.88% for home movers, at a maximum loan-to-value ratio (LTV) of 70%.
A two-year tracker is available from 2.94% (up to 70% LTV), and for a three-year tracker, rates start at 3.14% for (up to 75% LTV).
For those remortgaging and with at least ...
Nationwide and Abbey launch new mortgage deals
by Gill Montia
September 30, 2009
The lack of mortgages available to first time buyers is bumping up rents as would-be homeowners struggle to get a foot on the housing ladder, an industry expert claimed.
Nicholas Leeming, director of propertyfinder.com, said the credit crunch is good news for landlords because it will inflate their income.
"Rent levels have been recovering in recent months and demand from frustrated would-be buyers will ...
Mortgages dearth bumps up rents
by David Masters
September 26, 2009
Leeds Building Society unveiled two new mortgage products this week.
The new products include a two-year base rate tracker (BRT) mortgage, and a two-year fixed-rate mortgage.
The BRT mortgage is available to homeowners borrowing up to 75% of the value of their property, with interest charged at 2.7% above the Bank of England's base rate.
Customers opting for the fixed-rate deal will be charged interest ...
Leeds unveils two-year mortgage deals
by David Masters
September 16, 2009
Lenders continue to offer mortgages at an "obscene" rate of interest despite the cost of interbank borrowing falling to a record low.
Paul Holmes, chief executive of first-time buyer advice site Firstrung, said lenders have "no excuse" for the rates they are charging.
Banks and building societies are simply using record low interest rates to boost their profit margins, Holmes claimed.
Although some ...
First time buyers charged “obscene” interest rates
by David Masters
September 10, 2009
Consumers have seen very little benefit from the Bank of England holding its base rate at a record low of 0.5% for six months, a consumer advice site pointed out this week.
Interest rates on savings accounts have dropped, while rates on mortgages, credit cards, and personal loans have continued to rise, said Moneyfacts.co.uk.
Research by the site found interest rates ...
Consumers see few benefits from low base rate
by David Masters
September 1, 2009
Mortgage borrowers are becoming less fearful of interest rate rises and opting for variable rate loans in larger numbers.
July figures from John Charcol show that while fixed-rate deals retained their popularity, variable-rate mortgages, such as tracker or discounted loans, made up 35% of all mortgages arranged through the broker, compared to 17% of the market in June.
The swing reflected a sharp rise ...
Variable rate mortgage stages comeback
by Gill Montia
August 29, 2009
Borrowers seeking fixed and tracker rate mortgages are in for a pleasant surprise because arrangement fees have fallen by around 25% in the past 12 months.
Research by moneysupermarket.com has revealed that the average two year fixed-rate deal now comes with a typical fee of £957, down 30% the £1,243 average charge this time last year.
In addition, the average fee ...
Arrangement fees dive on fixed and tracker deals
by Gill Montia
July 27, 2009
Bank of China has relaunched its mortgage offering to UK customers, having previously focused on the British Chinese community.
The world's third-largest bank says it can provide "straightforward and very easy to understand" variable-rate loans to first-time buyers, home movers and customers who want to re-mortgage.
Buy-to-let investors are also being targeted by the bank, which funds its mortgage business ...
Bank of China opens its doors to mortgage customers
by Gill Montia
July 22, 2009
In a further reshaping of the UK mortgage market, the maximum length of a fixed-rate deal is down to 15 years, following Manchester Building Society's withdrawal its 30-year fix.
Prior to the credit crisis, the Government was proposing to help lenders offer more affordable long-term fixed-rate products, which at the time were common in the US, Germany and Denmark.
Lenders were sceptical and pointed out that ...
Long-term fixed-rates disappear
by Gill Montia
July 17, 2009
Mortgage experts have been urging homeowners to opt for fixed-rate mortgages for weeks, to hedge against an inevitable rise in the base rate.
However, new research from Moneyfacts shows that lenders are launching and withdrawing fixed-rate deals with almost indecent speed.
Last month the average time scale for borrowers to secure a fixed-rate mortgage fell to just 14 days.
The financial website ...
Average fixed-rate deal available for only 14 days
by Gill Montia
July 6, 2009
Northern Rock is once again offering mortgages to existing customers.
The move follows a gap of well over a year during which period borrowers coming off fixed deals either reverted to the Rock's standard variable rate or were forced to go elsewhere.
The nationalised lender is strictly interested in retaining its best customers and only those with at least 25% equity in ...
Northern Rock offers mortgages to existing customers
by Gill Montia
July 2, 2009
Britain's mountain of debt continues to grow, with the average adult now owing 132% of their typical earnings.
Collectively, UK consumers owe £1.459 trillion, Credit Action revealed this week, equivalent to £30,480 per person.
Personal debt on credit cards, store cards, overdrafts, and unsecured loans is also on the rise, increasing to £4,860 per person during the month of May.
The pace at which ...
Debt mountain grows to £1.46 trillion
by David Masters
