Market Report on Mortgage Lending in the Uk - 2020
- Submitted by: aadolfst01
- Views: 106
- Category: English: Creative Writing
- Date Submitted: 01/21/2016 10:15 PM
- Pages: 5
- Report this Essay
Jan 22 2016 Mumbai, India: Bharatbook.com announces a report on “ Market Report on Mortgage Lending in the UK – 2020 ”. This prompted retail lenders to lower interest rates on tracker and fixed-rate mortgages during the review period (2009–2014), leading to lower-value loan repayments from 2009 onwards.
Synopsis
A surge in mortgage lending was recorded during the second half of 2015, as customers took advantage of low interest rates, with the Governor of the Bank of England, Mark Carney, suggesting in November 2015 that the central bank rate may not rise until 2017.
Summary
- The Buy-to-Let sector recorded substantial growth in 2015, as investors increasingly looked towards property in the absence of any favorable savings rates. https://www.bharatbook.com/financial-service-market-research-reports-492891/mortgage-lending-uk.html With house prices continuing to rise and the buy-to-let making becoming a landlord more affordable this type of mortgage has risen from being a twentieth of all mortgages to a fifth in a single year. The availability of high loan-to-value (LTV) mortgages and even interest-only mortgages, combined with pension reforms in the March 2015 Budget − allowing over 55s to receive a lump sum instead of annuities − sparked the growth.
- Mortgage affordability eased during the recession as the Bank of England reduced its policy interest rate to a record-low of 0.5% in 2009, and Funding for Lending provided 18 months of access to cheap bank finance. This prompted retail lenders to lower interest rates on tracker and fixed-rate mortgages during the review period (2009–2014), leading to lower-value loan repayments from 2009 onwards.
- This trend continued in 2015, as HSBC became the first lender to launch a sub-2% five-year fixed mortgage in April, which triggered price war between lenders. Rates continued to plunge in 2015, with the average 75% two-year LTV mortgages as cheap as 1.6%. This has been a substantial factor behind driving...
Synopsis
A surge in mortgage lending was recorded during the second half of 2015, as customers took advantage of low interest rates, with the Governor of the Bank of England, Mark Carney, suggesting in November 2015 that the central bank rate may not rise until 2017.
Summary
- The Buy-to-Let sector recorded substantial growth in 2015, as investors increasingly looked towards property in the absence of any favorable savings rates. https://www.bharatbook.com/financial-service-market-research-reports-492891/mortgage-lending-uk.html With house prices continuing to rise and the buy-to-let making becoming a landlord more affordable this type of mortgage has risen from being a twentieth of all mortgages to a fifth in a single year. The availability of high loan-to-value (LTV) mortgages and even interest-only mortgages, combined with pension reforms in the March 2015 Budget − allowing over 55s to receive a lump sum instead of annuities − sparked the growth.
- Mortgage affordability eased during the recession as the Bank of England reduced its policy interest rate to a record-low of 0.5% in 2009, and Funding for Lending provided 18 months of access to cheap bank finance. This prompted retail lenders to lower interest rates on tracker and fixed-rate mortgages during the review period (2009–2014), leading to lower-value loan repayments from 2009 onwards.
- This trend continued in 2015, as HSBC became the first lender to launch a sub-2% five-year fixed mortgage in April, which triggered price war between lenders. Rates continued to plunge in 2015, with the average 75% two-year LTV mortgages as cheap as 1.6%. This has been a substantial factor behind driving...