18
May
Mortgage options 'more plentiful than people think'
There are more options concerning home loans than many consumers
are aware of.
This is according to unbiased.co.uk, which suggested that public
perception of the mortgage market is lagging behind reality.
It said that while a fifth of people polled believed they could
only borrow between 0.5 and 2.5 times the level of their salaries,
in fact the average amount provided by lenders stands at 3.3 times
annual earnings.
In addition, two in five respondents thought they would require at
least a 20 per cent deposit to secure a mortgage, whereas some
lenders are providing loans against smaller amounts.
Unbiased.co.uk chief executive Karen Barrett commented: "Many
lenders are now relaxing their lending criteria, offering ...
around four times or more an individual's income."
She added that the home loan sector has experienced "tremendous
change" over recent times.
Recently, the Council of Mortgage Lenders revealed that the average
rate paid on outstanding mortgages stood at 3.66 per cent in March
this year.
