The recession offered one advantage and only one and that was that the interest rates of both remortgages and mortgages are low.
During the credit crisis the UK Government brought in an interest rate for The Bank of England Base lending rate to only 0.05% which was an historic low.that had never eisted before.
The entire economy of the UK experienced no growth what so ever and certain industries were harder hit than others with the construction industry one of the worse affected. Houses simply stopped selling and many major builders just could not sell the new properties built.
Houses built by builders who had become house hold names remained unsold to such an extent that the builders offered all manner of incentives such as gardens fully land done, homes fully carpeted, etc.
In a great effort to sell homes many builders reduced the price of their properties by substantial amounts and homes previously on sale at say 500,000 were available now at 390,000
It was due to all this that the Government introduced the…
Read more >>
There are people throughout the UK wanting remortgages, secured loans, also called homeowner loans, and mortgages but they are just sitting about doing little or nothing about it.
The home loan required to buy a home is a mortgage and the majority of people do take out a mortgage when they want tp purchase a home as with the average property costing in the region of 168,000 few people have this sum of money available.
Mortgages are required both by first time buyers wanting to put their foot on the first rung of the property market or for those moving to another home for whatever reason, whether it is because their place of work has moved or because their family is growing.
Remortgages have also declined in number compared to the past.
Remortgages, unlike mortgages, are only there for those who already own their own homes as remortgages are the changing of an existing mortgage from one provider to a new mortgage provider.
Remortgages are often taken out at the end of a fixed mortgage…
Read more >>
For some people having a house means they get to, in time, remortgage or refinance. This is a process to pay off one mortgage with another. By using the same property as security, you are able to get another mortgage. Some people do this for extra money, to get a better interest rate, or to get a different lender.
There are a lot of people that think this process means moving or taking out a second loan. In fact this is other than true. Basically it means you are going to pay off one loan with one lender and getting another loan with a different lender. This is a great way to ensure that you are getting the best rate possible.
There are other reasons to get a second loan. Some use the money to do additions to the home, consolidate their bills and even pay college or school tuition. Many times though, the most useful advantage is the lower monthly payments. Homeowners sometimes use their home for the reason of getting…
Read more >>
Since the start of he recession some people have acted as if their life hs come to a standstill.
This stand still as it were mainly refers to financial matters. Those who used to change their car every two or three years may have thought that there are no loans available to buy a new car, and this means that some UK citizens who under normal circumstances love changing their cars have now owned their current vehicle for over five years now.This has come about because they believe that it is impossible to obtain car loans.
The reason for this is that many people think that there are no loans of any kind in the UK market at this moment in time when in fact all kinds of loans are available including car loans, although the underwriting criteria is certainly less lax now.
For those with a far from stellar credit rating there is still a possibility of obtaining a loan.
If you are a tenant it will be almost impossible to get a…
Read more >>
In the past previous to the credit crunch all types of loans were readily available. Loans were freely flying about like pieces of confetti.
There was even a good availability of loans for tenants that is for those who do not actually own their own home but rent it from a housing association, a local council or a private individual.
There has always been companies such as Provident who grant loans to both tenants and homeowners but these loans are for small amounts and their interest rates are high.
Welcome Finance used to advance both secured and unsecured loans to both tenants and homeowners, and although their interest rates were high, it was a useful product which did allow tenants to borrow the money they needed. Unfortunately after many years of profitable trading, Welcome closed their doors, and this left tenants out on a limb with very little options of obtaining a loan.This is a most unfortunate situation., and one that could not be fore seen.
For tenants requiring a loan the situation is…
Read more >>
