Many homeowners at risk of losing their properties
July 30, 2008
According to a recent report many homeowners will be at risk of losing their homes over the coming year and a half, with over one million set to face the risk of losing their home. The data has come from a report by the UK’s financial regulator, the Financial Services Authority, with officials stating that a number of factors will affect the ability of many homeowners to keep up with repayments on their mortgages, despite the fact that interest rates have been cut twice in the space of several months. Read more
Should You Pay Off Your Mortgage
July 30, 2008
A mortgage loan is a pretty hefty debt to have hanging over your head. Sometimes mortgages are used to buy that first home or to pay for remodelling, emergencies, or other situations where money is needed quickly.
The current mortgage crisis has many homeowners looking twice at the loan agreement which may reset at higher interest rates in the future and at rates that make foreclosure possible. This fact alone causes many home owners to consider paying off a mortgage early. Read more
Property sale slump could mean surge in home improvement loan applications
July 30, 2008
According to a recent report the slump in property sales in parts of the UK could result in an increase in applications for home improvement loans, as homeowners resign themselves to the fact that they are not going to be able to sell their property – at least not at the price they might have expected for it – and decide instead to change the property to suit their needs and stay where they are. House sale figures have slumped over recent months, with estate agents suffering extremely poor sales figures. Read more
What’s caused the slump in property sales?
July 22, 2008
There is little doubt that the number of properties being sold in the UK has slumped, and many homeowners are now finding it increasingly difficult to sell their homes, with estate agents reporting the poorest sales figures for many years. In fact, the situation has now reached a point where the lack of property sales could affect employment levels in a number of industries, with around fifteen thousand estate agents set to lose their jobs as well as those in related industries such as solicitors, removal firms, furniture retailers, and more. Read more
Could the base rate drop as low as 4%?
July 21, 2008
Over the past sixteen months or so homeowners on variable rate mortgages have really suffered financially, having seen their relatively low rates of interest rocket to sky high levels following a series of five interest rate rises from the Bank of England between August 2006 and July 2007. This has meant that their mortgage interest rate has also rocketed, and as a result of this their monthly repayments have gone through the roof in some cases, causing immense financial difficulties for some homeowners, and causing the level of repossessions to rise. Read more
Mortgage lending remains strained state officials
July 21, 2008
Last summer mortgage lending levels peaked, but late last summer the global credit crunch made its way across the Atlantic to the UK, and this changed the whole face of mortgage lending. Banks suddenly found it harder and more expensive to secure finance to fund their mortgage lending, and this has resulted in many changes. The number of mortgage products on the market has fallen by two thirds, interest rates have gone up, higher deposits are being demanded from lenders, and arrangement fees have rocketed. Read more
Halifax increases rates for new borrowers
July 20, 2008
The Halifax has increased its interest rates on mortgages for new borrowers after making alterations to interest rates for the twentieth time since the start of the year. Over twenty of its mortgage products will see rates rise by up to 0.5%, and this is despite the fact that the base rate has fallen three times since December and has stayed static at 5% over the past couple of months. Read more
Difficult decision for those wishing to remortgage
July 18, 2008
A recent report has shown how many people that are planning to remortgage either to get a better deal or because they are coming off cheap fixed rate mortgages may now find it difficult to determine which mortgage to go for as a result of confusion and differing predictions over what will happen with interest rates over the remainder of this year. Just a couple of months ago it was widely predicted that interest rates would continue falling over the course of this year, and that by the end of the year the base rate could be as low as 4%. Read more
Another house price tumble according to figures
July 16, 2008
According to recent reports November saw property prices fall by 1.1%, marking the third consecutive monthly drop. According to the Halifax this is the first time that this has happened since 1995, and the latest fall marks the largest drop in house prices since December 2006. Halifax officials state that the average property price has now fallen to £194,895, and this has taken the annual rate of growth from 8.9% in October to 6.3% for November. Read more
Payday loan popularity increases
July 15, 2008
Over recent months many consumers have faced increasing difficulties when it comes to getting finance of any sort, with the global credit crunch resulting in far tighter lending criteria and far tougher credit conditions. Many of those looking for a loan have found that they are unable to get finance from a mainstream lender, particularly of they have damaged credit or are on low incomes, and according to some industry officials this is resulting in a larger proportion of consumers turning to payday loans in order to fund shorter term emergencies. Read more
Tough times ahead for homeowners
July 14, 2008
Officials from a debt advisory company have stated that following bleak forecasts from the Council of Mortgage Lenders with regards to house price movement homeowners in the UK need to brace themselves for some very tough and challenging times ahead. Officials from the group are urging homeowners to prepare for difficult times, and if necessary to seek advice from experienced professionals with regards to their financial situations. Read more
Consumers warned to be careful about doorstep lenders
July 14, 2008
It seems that some doorstep lenders are enjoying a healthy year this year, as the global credit crunch continues to take its toll on households, and an increasing number of consumers, such as those with damaged credit or low incomes, find it increasingly difficult to get credit through mainstream lenders. The credit crunch has resulted in far tighter credit conditions coming into effect, and this has resulted in some people being forced to take finance from doorstep lenders. Read more
Halifax makes more upwards changes to rates
July 12, 2008
Last week the high street lender, Halifax, announced that it was making its twentieth set of changes to interest rates on its mortgage products since the start of this year, with rates on many of its mortgages being pushed up, spelling bad news for new borrowers looking for a good deal. First time buyers and those looking to remortgage will now have to deal with higher monthly repayments, with rates going up even though the base rate has been on hold at 5% since April following three rate cuts in relatively quick succession. Read more
Will mortgage approval levels recover?
July 8, 2008
With the ongoing global credit crunch causing huge problems for mortgage lenders when it comes to raising finance to fund their mortgage lending operations, mortgage approval levels have been taking a hit for some time. The current economic climate means that many consumers are unable to consider taking out a mortgage, with many household budgets already overstretched, and this is also affecting approval levels with fewer people applying for a mortgage. Lenders have also increased a range of mortgage fees, such as interest rates, deposit levels, and arrangement fees, which has affected consumer ability to afford to take out a mortgage. Read more
Homeowners should keep their eye on interest rates
July 7, 2008
Following the recent cut in interest rates, announced earlier this month by the Bank of England following December’s Monetary Policy Committee meeting, homeowners with variable rate mortgages are being advised to keep an eye on the interest rate from their lender to ensure that they benefit from the interest rate cut. The interest rate was cur earlier this month from 5.75% to 5.5% after the Bank of England announced a quarter point cut. Read more
Lack of first time buyers severely affecting rest of housing market
July 6, 2008
The housing and mortgage markets have both been experiencing immense difficulties over recent months, with the onset of the global credit crunch last summer having a profound adverse effect in the money markets, and this having a knock on effect in the housing sector. Mortgages have all but dried up, with many consumers unable to get finance to purchase a property due to tighter credit conditions stemming from lenders finding it increasingly difficult to get finance to fund their mortgage lending operations. Read more
Fancy getting an Asda mortgage?
July 3, 2008
Over recent years we have all become used to our local supermarket giants offering a wide range of products in addition to the traditional groceries. Many supermarkets have started to offer household gadgets and furniture, clothing, and even travel money. Many now offer a range of financial services, ranging from loans and credit cards to insurance services to suit all needs. And one of the leading supermarket giants, Asda, has recently announced that it plans to break into the mortgage market. Read more
Have you been priced out of the housing market?
July 1, 2008
When industry analysts and economists began to make predictions last year that the ten year housing boom was finally over, and house prices in the UK would come tumbling down over the months to come, many first time buyers pricked up their ears and rejoiced, thinking that it was at last time for them to take their first tentative steps onto the property ladder. With house prices having soared over recent years, many would be first time buyers had found that it was impossible to get onto the property ladder due to affordability problems, so this prediction came as welcome news to most. Read more
Estate agents jobs at risk due to housing downturn
July 1, 2008
The downturn in the housing sector, which has been fuelled by the global credit crunch, tighter credit conditions, and falling house prices, could result in many thousands of estate agents losing their jobs, according to a recent report. Many industry sectors have been adversely affected as a result of the slump in housing sales and mortgage availability, and the estate agency industry is just one of a number of industries that are likely to suffer as a result of this. Read more