Here is a summary of the key changes and announcements in the mortgage market for this week.

•         Halifax is the latest lender to announce reductions in its rates. With 10% deposit, Halifax are now offering a more competitive 4.39%. As a lender, Halifax do have niche areas that they can help with, most notably self-employed with less than 3 years accounts and contractors. As an added bonus, Halifax is also offering £500 cash back for First time Buyers with deposits less than 20%.
•         Barclays is increasing its “stress test” rate for residential mortgages form 6.79% to 6.99%. This is the rate that the lender uses to make sure a client can afford the mortgage if interest rates rise. On the plus side, Barclays has also reduced its rates, also in the 10% deposit area and now start at 3.99%.
•          A recent survey by TSB Bank, shows that 49% of potential mortgage customers are unaware of The Mortgage Market Review. Of those 51% that have heard of MMR, 31% do not know the details of the changes. It is still a challenge for a Mortgage Broker to explain MMR and the changes that this has resulted in.

 

If you are looking for further information on mortgages or looking to buy a property online, do contact us and we will put you in touch with our mortgage brokers, who are on hand to visit you at home or work: 0333 4441 007.