Price war with two of the UK’s largest mortgage lenders
A price war with two of the UK’s largest mortgage lenders has occurred. In the attempt to attract new mortgage customers, the Abbey and the Halifax have entered a price war. It seems as though the lenders are only looking for borrowers with a significant amount of deposit to put down or a want to borrow large amount for their competitive tracker deals.
This is a promising sign for mortgage lenders in the UK and is certainly a step in the right direction said Fairinvestment.co.uk’s director, David Doulton.
He said, "This is great news from our two biggest lenders for those homeowners who have enough equity or a big enough deposit to be eligible for these deals." he said.
"Times are tough for British households, and mortgage lenders are in a position to ease the current conditions in the mortgage and property market. It is good to see that they are taking their responsibility seriously and helping to bring rates down. Hopefully more lenders will follow suit."
First time borrowers unfortunately will not benefit from the reduced rates. It seems that they will have to wait for better deals to come their way. Experts predict that it is this that will stop the quick recovery of the UK housing market.
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