Prospective buyers benefit from boom in mortgage products over past two decades
- 18th August 2018
- Buying Property News
As ludlowthompson has grown since 1993, so too has the number of mortgage products available for individuals to move up the property ladder
The recent rise in the Bank of England base rate has brought mortgages back into the news – so far mainly because banks have been swift to increase their lending rates but slow to increase the rates offered to depositors.
But if you take a look back to when ludlowthompson first set up shop 25 years ago, one of the startling changes is in the variety of mortgages now on offer.
In the last decade interest rates have been relatively low and stable – certainly compared with the volatility experienced during the era of high inflation and sterling crises – so lenders compete more by designing products to meet particular needs.
There are now more than 5,000 different products on offer. 82% of these are fixed rate loans, typically for 2-5 years, another reflection of the interest rate stability we are going through.
For example, there are family deposit mortgages where typically the 'bank of Mum & Dad' provides deposit funding or guarantee a property loan, and there are increasingly specialised mortgages for many first-time buyers, such as a 5% deposit mortgage for those that have saved in a Help to Buy: ISA.
Buy-to-let mortgages have also dramatically increased their share of the market, mirroring the growth we have seen in the buy-to-let business in the last 25 years. Buy-to-let mortgages still account for about 13% of the total mortgage market despite the changes the Government has made to the buy-to-let market in recent years that has discouraged some of the more marginal landlords.
Those interested in purchasing a property now have a huge variety of choices. There are short and long-term fixes, capped and tracker products and now mortgages for the over 55s, another reflection of changing trends in the property market.
“With so many products on offer borrowers should sensibly seek help from an expert to decide which is best for them,” comments Stephen Ludlow, Chairman of ludlowthompson.
“Expectations are that interest rates will remain relatively stable for some time yet, so lenders will still need to be innovative to compete.”
If you are considering buying a property, please contact Chris Lockley at Jigsaw Mortgages here.
Here is a selection of recent reviews of happy customers of ludlowthompson via Google Reviews:
Adam recently helped me secure my first property. As a first time buyer, I couldn't have asked for more. Always contactable, very approachable and extremely helpful. Much appreciated.
- Micheal Curtin on Google Reviews
I want to say a big thank you to Kirsty and staff at Ludlow Thompson in Oval. They were professional and helpful throughout the process when we were selling our property. I would highly recommend utilizing her help when it comes to either buying or selling.
- Sinead Kearney on Google Reviews
ludlowthompson maintains its transparency by encouraging customer reviews across a number of platforms. Over a three year period we are ranked as the number 1 agent in the UK on allAgents out of 15,000+ agents, with 5800+ 5* reviews, and we are linked with feefo, a global Google Partner giving the customer another place to search for independent reviews of the company and the individuals that work at ludlowthompson.
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