Struggling To Get a Mortgage – Maybe We Can Help

Struggling To Get a Mortgage – Maybe We Can Help

9:15 AM, 8th December 2023, About 3 months ago

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The mortgage market has been through a tough time in recent months, following 14 months of consecutive base rate increases. Mortgage interest rates increased, buyers who were used to very low rates, were hesitant to move and sellers were reluctant to sell because of the anticipated price crash.

However, times have changed. There have been two months of house price increases, caused in the main by the Bank of England maintaining the current base rate at the last two reviews, leading to speculation that the rate will drop next year.

Many lenders still have stringent credit criteria. However, some will now accept blips in borrowers’ credit records. For example, on residential mortgages, they might accept some defaults, CCJs and satisfied Debt Management Plans.

The credit criteria for BTLs are stricter. However, some will ignore historical glitches and have no minimum income requirements. There is also a growing number of lenders that will accept Top Slicing. This is where the lender accepts surplus income from the applicant’s existing property portfolio or earned income, to determine affordability.

With lenders now competing ferociously for business, many are cutting mortgage rates on a weekly basis. The reductions are getting even more pronounced, as lenders battle for market share.

Brooklands Commercial Finance has been helping landlords for over 20 years and has access to the whole of the mortgage market.

Contact Brooklands Commercial Finance

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