Latest mortgage trends for owner occupiers
- 17th October 2012
- Buying Property News
ludlowthompson looks at the benefits of taking a current account with a mortgage provider.
Conventional wisdom says that it’s a tough time for prospective buyers to secure a mortgage. However, it may not be as hard as people think to progress up the property ladder.
Many banks and building societies are now offering deals to existing customers or those that start up a new account (minimum deposit required) if they take out a mortgage. These include:
- Offering favourable mortgage repayment rate. One examples is a two year deal from Santander, with interest rates of 2.79%, for a mortgage with a loan-to-value of up to 70%.
- Banks are starting to offer cashback deals to customers, with some deals being worth in the region of £120 per year for the customer.
- Cashback on household bills, ranging from 1% on council tax and water bills to 3% on all phone bills.
- Some banks are offering fee-free fixed rate deals, with interest rates as low as 2.99%.
Stephen Ludlow, Chairman of ludlowthompson, comments: "Buyers are often worried at the prospect of trying to secure a mortgage. However the process doesn’t have to be as daunting as many assume.
"Self-employed people have found it particularly difficult to find suitable mortgages since the credit crunch but this is starting to change. Banks are much more willing to lend to self-employed people than they were six months ago, so long as they have a good credit history and no outstanding credit card debts.
"Many would-be purchasers are missing out on good deals, simply by not knowing what’s out there. It doesn’t cost anything to investigate the options, and people are often surprised about the deals they can get."
Many would-be purchasers are missing out on good deals, simply by not knowing what’s out there.
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