79% Drop in bank right offs

I have just seen an article stating that mortgage lenders have hit a 12 year low in mortgage right offs this year. The article goes on to say that the Bank of England show that the amount of lender write offs is 79% lower than last year and even lower than pre-credit crunch figures. Their seems to be many factors that include more equity in property and lower interest rates to name two. Here is the article if you want to read more

Nationwide to entre the equity release market

I have just read an article about homeowners over 55 releasing equity from there homes and that Nationwide Building Society are now going to lend to this market. The highlights are 1) Available to 55 – 84-year olds 2) Up to 46% loan to value depending on age 3) No fees including legal and survey 4) You can port to a new property 5) You can take additional borrowing 6) Can pay back up to 10% per year Read here if you want all the detail read more

Large lender claim right to repo home for non-mortgage debit

I finished reading an article about ALL MONEY CHARGES and it relationship to mortgages. For a lot of people getting a mortgage opens the door to lots of new lending. For example, the lender who gave you a mortgage will offer you, personal loan, credit cards and bank accounts with an overdraft facility but apparently 6 major banks will put in there offers of mortgage that if you default on any of the unsecure debit they (the bank) have the right to repo your house. Here is the article for those interested read more

Interest only. Will this impact you???

I have read an article about the impact of maturing interest only mortgages and how it will affect aging customers. The FCA estimate that 1.8 million homes in the UK are on Interest Only mortgages and that excludes the Buy to Let market. Many of these do not have a repayment vehicle in place. These mortgages where set up prior to 2008 in most cases and the customers that have this type of mortgage will be coming close to retirement when they mature. The changes in mortgage regulation, as it pertains to customers read more

How young homebuyers are walking into debit

I just finished reading the Daily Mail (Money Mail Section Sep 20th 2017) According to the article, young home buyers are taking on billions of debit just as interest rates are about to rise. The article also stated that more than £35 billion of fixed home loan deals will come to an end in the next 2 months and these borrowers will then be moved onto a variable rate deals. Folks. The article was very negative and did a lot to try and scare the public but gave little in the way of solution or advice. It is read more

When your fixed rate mortgage product ends

Now hundreds of thousands of borrowers are reaching the end of fixed-rate mortgage deals each month. In most cases, that means their mortgage payments are set to rise - in some cases by a lot. But you can act to avert these higher costs. The following will explain exactly how fixed-rate mortgage deals work - as well as how to get the lowest possible rate and keep your repayments down. What is a fixed-rate mortgage? If you take out a fixed-rate mortgage, the interest rate on the deal will be locked in place for read more

The face of Buy to Let Mortgages is changing

If you are a landlord you, most likely, have had to get a buy to let mortgage. Over the years these mortgage have been fairly easy to arrange through an experience mortgage broker. They usually required very little in documentation and the lender were mostly interested in the rental value. All this is about to change. Over the coming weeks the banks and building societies will require not only income verification but also verification from inland revenue, copy of leases, letters from letting agents and bank read more

New regulation on how much you can borrower on a mortgage

Such "reversion" rates are often the same as the lender's standard variable rate, or SVR. According to Ray Boulger of John Charcol, the broker, SVRs can currently be as high as 5.75pc. This could mean that some banks are forced to stress test at a very high rate of 8.75pc. Stringent new rules on mortgage affordability could force borrowers to prove that they could afford repayments almost twice as high as the expected monthly cost of their loan. The Bank of England announced the beefed-up rules on affordability or read more

The mortgage market is improvement and the government want to stop it

Mortgage lending is bouncing back as the slowdown in the housing market appears to be at an end. Prices slid earlier this year but buyers are back - a total of 121,464 mortgages were issued last month, reversing some of the falls in April, according to the Bank of England. More than half of those loans went to people purchasing homes. By value total mortgage debt rose by £3.5bn, the fastest pace in more than a year. As a result, mortgage lending grew by 2.9pc on the year, accelerating a touch from the levels seen in read more

Mortgages could be harder to get. “AGAIN!!!!!!”

Lenders will have to make sure that customers can manage repayments at a rate of around seven per cent - far higher than the rate they are likely to be applying for. It means borrowers will only be able to qualify for a loan if they could afford bills at the higher rate, which is around three percentage points above the typical Standard Variable Rate (SVR), It comes as the Bank of England today warned in its bi-annual Financial Stability Report that credit card debt, personal loans and motor finance grew much read more