Innovation in the mortgage servicing market

Significant change has occurred in the mortgage servicing industry. While some servicers have doubled in size, others have been acquired by larger organisations giving them strong parent backing, and many servicers have also consolidated through mergers. Not to mention, new servicers have come to market bringing healthy competition and further choices for lenders. A busy time for both servicers and lenders alike, all organisations are aiming to achieve results for their businesses and customers. Sutherland is a global read more

The sub 1% fixed rate is back

Santander has brought back the sub-1pc mortgage with a fixed-rate deal at 0.99pc. The bank is offering the loan to buyers with 40pc deposits, and will fix the rate for 18 months. Previously HSBC offered a mortgage with the same rate but withdrew it in December, along with many of its other best-buy deals. Santander's offer becomes the lowest fixed rate available. The rate is beaten only by Yorkshire Building Society's 0.98pc tracker mortgage, which is not fixed but will vary in line with Bank Rate. Like many read more

Parents are committing fraud by lying to their banks about the cost of childcare

Parents are committing fraud by lying to their banks about the cost of childcare – all because they’re afraid they will be rejected for a mortgage. That’s the shocking conclusion of a report from uSwitch, which found several families are forced to conceal the real amount they pay each month in order to buy a home or even re-mortgage their existing property. The comparison site spoke to 1,000 parents of children aged 12 and under who had applied for a mortgage in the last 10 years. It found that one in six had been read more

House ownership out ways rentals

The property rental market is booming at the expense of the sales market, making it look as if house-buying will be outstripped for the first time in eight decades next year, as home-buyers face a continued struggle to find properties they can afford. Activity in the sales market has cooled since June’s Brexit vote and a lack of property for sale combined with rising prices are set to lead to more new lets than purchases, the UK’s largest estate agency chain, Countrywide, said. Johnny Morris, research director at read more

Scottish people are the best at managing their mortgage payments

SCOTS have been named the most financially comfortable of any nation in the UK when it comes to being able to pay their mortgages in the UK, it has emerged. Bank of Scotland research found mortgage affordability - the proportion of disposable earnings devoted to mortgage payments - for both first time buyers and home-movers was lowest in Scotland towards the end of last year. It found mortgage payments were 20 per cent of disposable earnings north of the border, compared to 30 per cent for the UK. Northern Ireland read more

Mortgage market remains “Resilient”

Mortgage lending has remained "resilient" despite recent tax changes and economic uncertainty, per banks and building societies. Paul Smee, director general of the Council of Mortgage Lenders, made the comments as the CML's figures showed that first-time buyers borrowed a total of £4.7 billion in November, up 4% on October and a 9% increase compared with November 2015. Home-movers borrowed £6.3 billion in November, down by 5% compared with a year earlier but still a 7% increase compared with the previous read more

Help to buy has come to a end but there is still good news.

One of the Government's key policies aimed at helping first-time buyers closes tomorrow, having assisted around 100,000 people buy properties. The Help to Buy Mortgage Guarantee scheme - launched in 2014 and widely condemned for inflating house prices - was one of George Osborne's more controversial housing policies. It was designed to encourage banks and building societies to resume offering mortgages to buyers with deposits as small as 5pc. These mortgages had been widely available ahead of the 2007-2008 banking read more

Personal loans interest rate lower than mortgages

Personal loan rates have tumbled dramatically in the past five years and have now dipped below 3pc for the first time - making them cheaper than many mortgages. Sainsbury's Bank now charges customers 2.9pc to borrow between £7,500 and £19,999. Customers with Nectar cards will pay an even lower rate of 2.8pc if the term is more than three years. This makes the loans cheaper than many mortgages. The average standard variable rate on a home loan is 4.62pc, and even the lowest standard variable rate, from Stafford read more

3% house price increase for 2017

House prices in the UK will see an average increase of 3% in 2017 as the number of transactions stabilises, per the latest RICS housing forecast. This is slightly above Nationwide's prediction of 2% growth for next year, however the Bank admitted that "house price prospects will depend crucially on developments in the wider economy". The Institute says East Anglia is likely to continue its trend during 2016 and alongside the North West and West Midlands is likely to record gains higher than the national average. read more

Income consider for a mortgage

An Olympian who won a rowing gold medal at the Rio games this summer has disclosed that his £28,000 tax-free income doesn’t count as income for a mortgage. His plight prompts the question: what will lenders accept? Lenders' main aim is to establish whether any declared income is sustainable and can be relied on to help make mortgage payments. So, while a wide range of income sources will generally be accepted, the degree of proof required varies according to the income type. For instance, Nationwide will read more