Mortgage choice for first time buyers on the increase
April 12, 2010
A recent report has shown that the number of mortgage now available on the market for first time buyers has increased, which means that first time buyers can enjoy boosting their chances of getting a better deal on their mortgage because of the increase in the number of deals that are available.
The figures suggest that over the past twelve months the number of mortgages that are on the market to help first time buyers get onto the property ladder have nearly doubled in number.
Over the past couple of years first time buyers have struggled to find a suitable mortgage because of the level of deposit that lenders have been demanding, and even those that have a deposit of 15% to put down have found that the number of mortgage deals available have been restricted. However, there are now around four hundred mortgage deals on the market that are available for those that have a 15 percent deposit.
Since the onset of the global credit crunch first time buyers have really suffered when it comes to getting onto the property ladder, as lenders have been far more restrictive with regards to who they will lend to and first time buyers have been seen as higher risk customers for lenders.
This is why lenders have been demanding very high deposit levels, and this is something that most first time buyers have been unable to raise.
The increase in the number of deals for first time buyers will therefore come as good news for many people. However, those that are looking to take out one of these mortgages should ensure that they check the arrangement fees that come with the mortgages as well as the rate of interest charged on the loans.
- Mortgage lenders attempt to cut costs There has been evidence that competition in the mortgage market is hotting up again, with lenders striving to increase their share in the mortgage market by trying to cut costs for potential buyers. Many lenders are
- Choice of mortgage for new borrowers falls further According to a recent report the number of mortgage products that are now available for new borrowers has fallen even further over the past couple of weeks, leaving new borrowers really struggling to find a
- First time buyers unlikely to benefit from HSBC increased lending Earlier this month the High Street bank HSBC made an ambitious pledge to increase its lending by around 20 percent next year compared to this year, claiming that it aims to lend around £15 billion
- Little choice for those wanting longer term fixed rate mortgages Over recent months the Chancellor of the Exchequer, Alistair Darling, has been pushing for longer term fixed rate mortgages in the UK. Darling believes that longer term fixed rate deals for 20 or 25 years
- Northern Rock offers 10 percent mortgage Over the past few years getting a mortgage has become increasingly difficult for first time buyers, not least because of the level of deposit that is being demanded by the various lenders. However, according to
Comments
Got something to say?