Lenders are failing borrowers in difficulty

It appears lenders are falling short on their duty to offer their borrowers assistance in these uncertain times. Over 75% of borrowers were offered help by their lender when they were struggling with making the monthly mortgage repayments, leaving 25% being refused help. If you are struggling to meet the payments then your first port of call is to the lender. There are a number of options available to you to avoid missing payments such as switching to another deal, moving to interest only instead of repayment and also taking a payment break.

Although the bank of England base rate is not expected to raise in the near future, there is still uncertainty with borrowers as to what they can do. Please get in contact with one of our advisers today to see what options you have available.

House prices at lowest since 2003

With the decrease in property values throughout the country this has led to houses being down to their most affordable since 2003. This does not necessarily mean that people can actually buy the houses given the deposits needed to access the various different mortgages available. The general opinion is that you NEED 25% deposit - well you do if you want the best rates, however the true figure is 10% deposit, and even 5% in some cases. With the government also introducing schemes to assist first time buyers to purchase new build properties there are a number of options available. If you think you cannot afford to buy and are wondering what you need to do, how much you need to earn, what deposit you need, what income is acceptable then please get in touch with an adviser & they will be able to answer all these questions. More information is also available on our website http://www.comparethemortgagemarket.com

90% LTV with no arrangement fee and cashback

On Monday (8th August) Natwest launched a 90% loan to value mortgage with no arrangement fees and £250 cashback. For more information about the rate and deal please get in touch.

July remains a flat month for sales

With so much bad press and general uncertainty people are still unwilling to put their houses on the market and are deciding to stay as they are until something improves. July was a flat month again for sales and new instructions throughout the estate agency industry and the feeling is that it may continue for the next few months.

Buy to Let Investors........

The difficulty new borrowers are having in finding mortgage funding for house purchases has driven up demand for private rental accommodation. It is therefore an ideal time for investors to enter the Buy To Let market which we would gladly assist in finding the finance for these deals.

Amongst the usual 25% deposit requirement there are a few lenders that will allow smaller deposits with as little as 15% although these lenders require more in depth underwriting. If you would like to discuss anything then please do not hesitate to call on 0208 1231337.

Base rate stays at 0.5%

The last change in bank rate was a reduction of from 1.0% to 0.5% on 5 March 2009. The general consensus from the market is that an interest rate rise will not occur until at least 2012. For people with a mortgage at the moment there has not been a better time to overpay and reduce the remaining debt whilst paying these low variable & tracker rates.
There are still a number of highly competitive deals available and will continue to be so for the foreseeable future with regard to the bank base rate. If you would like to discuss any potential new deals then please call us on 0208 1231337 or email on enquiry@comparethemortgagemarket.com

Average house price index slight decrease

The average prices in quarter 2 of this year were down in comparison to last year in all regions except London by about 1.1%. Throughout June the market remained stable and with the low level of mortgage applications made & new borrowers coming forward this is set to remain. This is not bad news though as the economy itself is growing for the better. Employment has been steadily increasing and consumer confidence increased also but that could have been down to the warm weather and extra bank holidays, rather than signalling the arrival of any recovery-related feel good factor. Please check out that latest mortgage deals at http://www.comparethemortgagemarket.com/ or call us on 02081231337.