Mortgage News »

August 8, 2014 – 11:53 am | Edit Post

Virgin Money has launched a mortgage product which will provide a £3,000 cashback payment to customers using the Help to Buy equity loan scheme.
The cashback is designed to cover items such as stamp duty, …

Read the full story »
Doctor Mortgage

Concerned about interest changes or considering a change of mortgage lender? Find out about different doctors mortgage schemes. See more articles in this section

Income Protection

Income protection insurance protects your lifestyle by providing you with an income should you be unable to work due to accident or long term illness. See more articles in this section.

Critical Illness

Critical Illness insurance is a form of cover designed to provide a cash lump sum if you are diagnosed with a serious illness. Find out how to protect your mortgage and lifestyle. See more articles in this section

NHS News

We round up the best of the weeks news stories relating to the NHS and those who work within it. Click here to see our article library for NHS News stories.

Mortgage News

The mortgage market is constantly evolving. We can help you keep abreast of the changes to mortgage rates and schemes to ensure you get the best deal. See more articles in this section.

Home » Doctor Mortgage, Finance news

Mortgage availability is improving

Submitted by on August 20, 2011 – 7:59 pm

mortgage availability improvingAlthough the UK property market remains sluggish, conditions have eased slightly for potential borrowers. According to figures from price comparison website Moneyfacts, the number of available mortgage deals has risen to reach its highest level since December 2008. Lenders are now competing for mortgage business; this has led to a welcome decline in mortgage rates, and average rates for fixed and tracker mortgages have reached their lowest level since 1988.

According to the Council of Mortgage Lenders (CML), the UK mortgage market is stabilising and the number of loans available for house purchase and remortgage rose during May. 41,500 loans worth £5.9bn were advanced for house purchases during May, compared with 40,800 in April. Nevertheless, activity remains low compared with the same period a year ago: during May 2010, lenders advanced 43,800 loans worth £6.3bn.

Data from Moneyfacts show increased scope to secure a mortgage requiring a deposit of only 10%: at the beginning of July, 261 products required a deposit of 10%, compared with 176 a year ago. Meanwhile, prospects for first-time buyers appear to have brightened. According to Moneyfacts, “Lenders appear to be applying the recent cuts equally across all loan-to-value tiers, which is good news for first-time buyers.” Figures from the CML show that first-time buyers borrowed an average of 80% of their property’s value during May, compared with an average of 75% during 2009 and early 2010. Nevertheless, lenders remain vigilant: potential borrowers can expect their credit history to be raked over in detail, and lenders remain disinclined to offer the 100% mortgage deals that proliferated before the credit crisis. According to the CML, only 3% of first-time buyers took out interest-only mortgages during May 2011, compared with approximately 30% before the financial crisis.

62% of borrowers favoured fixed-rate mortgages during May, while only 22% opted for tracker mortgages, suggesting that consumers remain uncertain about the outlook for UK interest rates. The CML expects the mortgage market to remain stable over coming months; UK interest rates have remained at an all-time low of 0.5% since March 2009 and lenders do not appear to expect an increase in the near future. However, many lenders are still not sharing with borrowers the full benefit of the fall in funding costs, and mortgage rates are certain to rise again as soon as lenders believe an interest-rate rise is imminent

Although the UK property market remains sluggish, conditions have eased slightly for potential borrowers. According to figures from price comparison website Moneyfacts, the number of available mortgage deals has risen to reach its highest level since December 2008. Lenders are now competing for mortgage business; this has led to a welcome decline in mortgage rates, and average rates for fixed and tracker mortgages have reached their lowest level since 1988. According to the Council of Mortgage Lenders (CML), the UK mortgage market is stabilising and the number of loans available for house purchase and remortgage rose during May. 41,500 loans worth £5.9bn were advanced for house purchases during May, compared with 40,800 in April. Nevertheless, activity remains low compared with the same period a year ago: during May 2010, lenders advanced 43,800 loans worth £6.3bn.

Data from Moneyfacts show increased scope to secure a mortgage requiring a deposit of only 10%: at the beginning of July, 261 products required a deposit of 10%, compared with 176 a year ago. Meanwhile, prospects for first-time buyers appear to have brightened. According to Moneyfacts, “Lenders appear to be applying the recent cuts equally across all loan-to-value tiers, which is good news for first-time buyers.” Figures from the CML show that first-time buyers borrowed an average of 80% of their property’s value during May, compared with an average of 75% during 2009 and early 2010. Nevertheless, lenders remain vigilant: potential borrowers can expect their credit history to be raked over in detail, and lenders remain disinclined to offer the 100% mortgage deals that proliferated before the credit crisis. According to the CML, only 3% of first-time buyers took out interest-only mortgages during May 2011, compared with approximately 30% before the financial crisis.

62% of borrowers favoured fixed-rate mortgages during May, while only 22% opted for tracker mortgages, suggesting that consumers remain uncertain about the outlook for UK interest rates. The CML expects the mortgage market to remain stable over coming months; UK interest rates have remained at an all-time low of 0.5% since March 2009 and lenders do not appear to expect an increase in the near future. However, many lenders are still not sharing with borrowers the full benefit of the fall in funding costs, and mortgage rates are certain to rise again as soon as lenders believe an interest-rate rise is imminent.

Doctor mortgages

Today’s Mortgage Best Buys

Our selected mortgage best buy’s

Click here to view all Mortgage Best Buys >>>

Your home may be repossessed if you do not keep up repayments on your mortgage

Tags:

Leave a comment!

Add your comment below, or trackback from your own site. You can also Comments Feed via RSS.

Be nice. Keep it clean. Stay on topic. No spam.

You can use these tags:

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <strike> <strong> 

This is a Gravatar-enabled weblog. To get your own globally-recognized-avatar, please register at Gravatar.