Lenders offering ‘irresponsible’ super-size mortgages

Lenders offering ‘irresponsible’ super-size mortgages

As Britain’s house prices continue to soar it has emerged that some lenders are offering mortgages for up to six times buyers’ salaries – a level branded ‘irresponsible’ and ‘alarming’ just before the housing crash of 2008. Top financial journalist Louise Eccles said: “First-time buyers are saddling themselves with record levels of debt as banks …

Mortgages on the rise

Fixed rate mortgages are on the rise, even though the Bank Of England hasn’t raised base rate yet. Lenders appear to be interpreting recent hints by Bank officials, including governor Mark Carney, that base rate will start to rise sooner rather than later – possibly as soon as November.

Mortgages for life?

Britain’s financial regulator could be about to authorise controversial interest-only mortgages which could run until the borrower dies. A consultation from the Financial Conduct Authority (FCA) is suggesting a relaxation of the rules governing lending to the elderly.