The UK mortgage market has changed dramatically in recent years due to the world wide credit issues and the difficulties many lenders were finding in getting access to funds to lend to clients. This has led to slimming down of the market and major changes to underwriting criteria.
As a result lending criteria has tightened considerably.
Today’s mortgage market
All mortgage lenders in the UK will require the applicant to prove income via wage slips if employed, or accounts, or accountant’s reference if self-employed.
Deposit requirements are higher than in the past and lenders will normally look for at least 10% deposit with the most competitive rates reserved for those with deposits of 25% or more.
Mortgages are provided in the UK by banks and building societies and there are several dozen of these institutions still lending.
One advantage that the borrower does have in today’s market is that rates are as competitive as they have ever been and it is an extremely cost effective time to borrow money.
Those seeking to take a mortgage in the UK can do this direct with some Lenders but the more usual and practical route is to use an Independent Mortgage Broker.
Your Independent Mortgage Broker will have access to the whole of the UK market and be able to advise on which Lender has the best terms and the best mortgage products for your situation.
Mortgages taken out to purchase your home are regulated products and therefore your Mortgage Broker or Lender will need to deal with you in a prescribed fashion and provide industry approved paperwork.
A buy to let mortgage is secured on a property you intend to rent out and is an unsecured product. On a buy to let application there is no statutory requirement for you to be provided with any particular information or advice.
Here at A Mortgage Now we have a wealth of experience in arranging mortgages.
We look forward to assisting you with your UK mortgage – contact us now.