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Lenders not wanting to lend

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  • Hoenir
    Hoenir Posts: 7,742 Forumite
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    Lenders need to lend to have a viable business so no, they are not trying to get out of lending.
    They are just getting out of meeting sellers expectations, a price correction would benefit lenders as they will get more customers.
    Lenders are more interested in not incurring bad debts. 
  • ReadySteadyPop
    ReadySteadyPop Posts: 1,631 Forumite
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    Hoenir said:
    Lenders need to lend to have a viable business so no, they are not trying to get out of lending.
    They are just getting out of meeting sellers expectations, a price correction would benefit lenders as they will get more customers.
    Lenders are more interested in not incurring bad debts. 
    And not meeting sellers daft expectations/EA`s daft valuations is the perfect way to hedge against that.
  • amnblog
    amnblog Posts: 12,728 Forumite
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    A mortgage adviser suggesting Lenders are ‘looking for reasons not to lend’ is not demonstrating a sound understanding of the market.

    How long would a Lender avoiding lending stay in business?
    I am a Mortgage Broker

    You should note that this site doesn't check my status as a Mortgage Broker, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • ACG
    ACG Posts: 24,551 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    amnblog said:
    A mortgage adviser suggesting Lenders are ‘looking for reasons not to lend’ is not demonstrating a sound understanding of the market.

    How long would a Lender avoiding lending stay in business?
    Maybe go and speak to that lender beginning with V. After some of the stunts they pulled during covid I have no idea how. 
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • ReadySteadyPop
    ReadySteadyPop Posts: 1,631 Forumite
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    amnblog said:
    A mortgage adviser suggesting Lenders are ‘looking for reasons not to lend’ is not demonstrating a sound understanding of the market.

    How long would a Lender avoiding lending stay in business?
    Maybe they are lending but more sensibly, if the buyer wants to overpay they will have to add their own money?
  • ACG
    ACG Posts: 24,551 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    Thats always been the case.ReadySteadyPop said:
    amnblog said:
    A mortgage adviser suggesting Lenders are ‘looking for reasons not to lend’ is not demonstrating a sound understanding of the market.

    How long would a Lender avoiding lending stay in business?
    Maybe they are lending but more sensibly, if the buyer wants to overpay they will have to add their own money?

    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • ReadySteadyPop
    ReadySteadyPop Posts: 1,631 Forumite
    1,000 Posts Photogenic First Anniversary Name Dropper
    ACG said:
    Thats always been the case.ReadySteadyPop said:
    amnblog said:
    A mortgage adviser suggesting Lenders are ‘looking for reasons not to lend’ is not demonstrating a sound understanding of the market.

    How long would a Lender avoiding lending stay in business?
    Maybe they are lending but more sensibly, if the buyer wants to overpay they will have to add their own money?

    The banks were not lending sensibly in the past, that is why half the country is hanging onto the hope of "rate cuts".
  • ACG
    ACG Posts: 24,551 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    ACG said:
    Thats always been the case.ReadySteadyPop said:
    amnblog said:
    A mortgage adviser suggesting Lenders are ‘looking for reasons not to lend’ is not demonstrating a sound understanding of the market.

    How long would a Lender avoiding lending stay in business?
    Maybe they are lending but more sensibly, if the buyer wants to overpay they will have to add their own money?

    The banks were not lending sensibly in the past, that is why half the country is hanging onto the hope of "rate cuts".
    Maybe. But most people with large mortgages (comparative to income) would have been assessed on rates of 6-8% so should be able to take the shock of rate rises. The problem is that it has come combined with inflation of over 10% and people may have also had kids or taken out cars or other finance as the mortgage repayments were lower than they could actually afford. 
    I am a Mortgage Adviser
    You should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.
  • Hoenir
    Hoenir Posts: 7,742 Forumite
    1,000 Posts First Anniversary Name Dropper
    ACG said:
    Thats always been the case.ReadySteadyPop said:
    amnblog said:
    A mortgage adviser suggesting Lenders are ‘looking for reasons not to lend’ is not demonstrating a sound understanding of the market.

    How long would a Lender avoiding lending stay in business?
    Maybe they are lending but more sensibly, if the buyer wants to overpay they will have to add their own money?

    The banks were not lending sensibly in the past, that is why half the country is hanging onto the hope of "rate cuts".
    There's far more savers than borrowers in the UK.  Also 20% of total borrowing is BTL. Just 80% is residential. Facts speak volumes. 
  • ReadySteadyPop
    ReadySteadyPop Posts: 1,631 Forumite
    1,000 Posts Photogenic First Anniversary Name Dropper
    Hoenir said:
    ACG said:
    Thats always been the case.ReadySteadyPop said:
    amnblog said:
    A mortgage adviser suggesting Lenders are ‘looking for reasons not to lend’ is not demonstrating a sound understanding of the market.

    How long would a Lender avoiding lending stay in business?
    Maybe they are lending but more sensibly, if the buyer wants to overpay they will have to add their own money?

    The banks were not lending sensibly in the past, that is why half the country is hanging onto the hope of "rate cuts".
    There's far more savers than borrowers in the UK.  Also 20% of total borrowing is BTL. Just 80% is residential. Facts speak volumes. 
    So the media going on about rate cuts that might happen....sometime..... every day is just something they like doing, it doesn`t have any relevance to most of the public?
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