Death of the interest-only mortgage?
June 30, 2010
Thanks to the credit crunch and ensuing recession, we have already seen the demise of the 100% mortgage, and reports in the media this month indicate that we could now be seeing the death of the interest-only mortgage.
According to Read more
Mortgage advisors and bank staff to individually register by 2011
June 27, 2010
By March 2011, each mortgage advisor and every bank staff member who arranges mortgages will have to be individually registered with the FSA.
Earlier this month, the Financial Services Authority (FSA) confirmed that it will require each person who arranges mortgages, whether they are an independent mortgage advisor or if they work in a bank Read more
Emergency Budget changes Support for Mortgage Interest scheme
June 24, 2010
This week’s Emergency Budget included a change for the Support for Mortgage Interest scheme (SMI).
All over the UK, everybody has awaited the Emergency Budget with baited breath – knowing it would be painful for us all but hoping it might not be as painful as expected. The Budget did not disappoint and the SMI scheme was included in the changes.
The SMI scheme was Read more
Joint tenants or tenants in common?
June 21, 2010
A story in The Observer this weekend highlights the importance of using a good mortgage advisor when you purchase a property.
Patricia Jones and her partner Leonard Kernott bought a semi-detached together in 1985. Jones paid the deposit and her boyfriend didn’t contribute to her mortgage. Kernott moved out 17 years ago and has since purchased his own property. Yet an appeals court has ruled that Kernott is entitled to 50% of the value of the house because they bought as ‘joint tenants’.
Many couples owning Read more
House price increases return to double figures
June 17, 2010
Recent government statistics show the annual rate of house price inflation has returned to double digits.
According to the Department for Communities and Local Government (DCLG), UK house prices for April were more than 10% up from the same month last year.
At 10.1%, this is the highest Read more
Santander set to expand network with 318 RBS branches
June 14, 2010
Santander, which also bought Abbey National, Bradford & Bingley and Alliance & Leicester, looks as though it may close a deal this week that sees it take over 318 Royal Bank of Scotland (RBS) high street branches.
The Spanish bank is now the only bidder remaining in the sales process that closes on Tuesday 15th June. RBS is obliged to dispense with the 318 branches as instructed by the European Union as a result of the multi-million pound bailout it accepted from the UK government during the credit crunch. It surprised many when it announced anticipated record losses last year of around £28 billion.
Santander is already the largest bank in the Eurozone and in April, it submitted an offer of around £2 billion for the branches. It controls 14 percent of the UK’s mortgage market and 10 percent of overall high street branches and retail savings. If the purchase goes through, then it will also have a 9 percent share in the UK’s SME market as well, compared to its current 3 percent share. Compared with many other Spanish banks, Santander survived by selling some of its property portfolio early in 2007 as the market began to crack. The firm anticipated double digit growth in the UK following the recession.
RBS is currently 84 percent owned by the taxpayer and must sell the 318 branches by 2013 and can decline an offer below the asking price. The government is planning a ‘scaled exit’ from its RBS ownership.
How FSA proposals will impact on CeMAP training
June 12, 2010
The FSA (Financial Services Authority) is proposing changes to how mortgage-related exams and other qualifications in the financial services sector are studied.
The proposals mean that any individual recruited into a role will have a deadline of 30 months in which to complete the required qualifications for that role. The changes would also remove any transitional provisions that allow an individual to work without qualification.
The consultation period will Read more
FSA proposes deadline for studying CeMAP exams
June 9, 2010
The Financial Services Authority (FSA) has proposed that a deadline of 30 months should be imposed upon any individual working in a mortgage or financial services-related role to complete the role’s required qualifications.
The Director of Policy at the AMI (Association of Mortgage Intermediaries), Andrew Strange commented: Read more
Lloyds increases new homeowner SVR on mortgages
June 6, 2010
In news this week, the Lloyds Group has increased its SVR (standard variable rate) for all new mortgages at Cheltenham & Gloucester and Lloyds TSB. The changes also mean that new borrowers will not have the guarantee that the bank’s rate will not rise more than 2% over the current base interest rate.
This change comes Read more
April shows increase in approved mortgages
June 3, 2010
New figures show that the amount of mortgages that were approved in Britain during the month of April show an increase when compared to March.
The Bank of England has released statistics that show the figure Read more
