New Mortgage deals

Ross_Hampton

I am an independent broker and feel the new deals for first time buyers at 90% LTV are a disgrace from lenders that have recently taken our tax payers money to shore up mismanaged balance sheets.

Do any other brokers share this feeling of sheer frustration.

_Andy_

Ross - what sort of deals are there for FTBs at that LTV now? (I've been out of the business for a while)

koexelek

The bottom line is, a lot of the lenders are still not keen to lend, and want their products to remain uncompetitive, in order to discourage people to borrow.
All this money was only made available to eight lenders anyway, so it is not much help to the majority.

Ross_Hampton

Some deals around the 6.5% mark with small lenders but the big guys i.e Nationwide/Abbey/etc want minimum 85% LTV as the deals they have at 90% are above 7% i.e HBOS 7.24%.

The market has been deteriorating quicker since the rate cut as lenders cant seem to pass on any better deals until the LIBOR rate comes down.

Ross_Hampton

The 8 lenders in question dominate 65% of the mortgage market, the money was lent to the majority

cmart021

Going through the whole house buying thing now and have been given an offer of 7.49 fixed for 7 years from Halifax (even though it was supposed to be tracker at 2.29 over BOE base- which is still high).

Starting to annoy me now as a tax payer we in a way own shares in these banks yet they are still calling the shots!

Maybe I am mistaken and forgive me for my lack of knowledge on the subject but was there not a 60% buy out of a particular banks shares recently by the govt?

Surely they should be able to force banks into lower lending. Or maybe I am just dreaming too much.

feisty1

WHAT????????????

7.49 fixed for 7 years why?

go to yr KFI document 2. Which service are we providing you with?

does it say recommend or not recommend?

this will tell u if u have seen an advisor or customer service person..if it reads recommend it's an advisor etc...if so 7yrs why???

cmart021

I am as shocked as you. I have no idea why. The key facts outlines the tracker and this is what we discussed with the mortgage advisor.

boggie40

the deal is worse than mine and i have only just been discharged from a bankruptcy !!!!

you want to get some calls going 2moro, a few more thousand like you paying those rates and the new managers will be rubbing their fat cats next april !

Ian_Griffiths_Halifax

Ross_Hampton wrote: »

I am an independent broker and feel the new deals for first time buyers at 90% LTV are a disgrace from lenders that have recently taken our tax payers money to shore up mismanaged balance sheets.

Do any other brokers share this feeling of sheer frustration.

Ross, you need to add the Mortgage Adviser signature to your posts.

See here. http://forums.moneysavingexpert.com/showthread.html?t=325378

magburner

Lenders are pricing appropriately for the risk and nothing else.

In this market the risk of lending at above 90% is high hence it's a good idea to take a longer term product so you don't need to find a new deal in a couple of years.