Rubbish mortgages in 2011, predict brokers
Rubbish mortgages in 2011, predict brokers
Most brokers believe there will be no improvement in mortgage options in 2011 with only 7% of brokers predicting an improvement in funding options. The figures are from research conducted by Platform, and are made even more surprising by fact that the number of mortgage products, available to the sector, rose last year.
So what could account for this lack in confidence? Well Andy McBride, Associate Director at Contractor Mortgages Made Easy, may have the answer, in a recent interview he observed "the markets are going through some tough times, and I think lenders just want to keep their mortgage options stable for the time being."
This may be true, with many economists starting to use the phrases "double dip recession" and "stagflation" when asked about the future of the market, lenders may just be taking the wait and see approach.
In any case, with increasing consumer demand and the risk of interest rate rises, intermediaries will continue to look for support from lenders, particularly in the re-mortgage and buy-to-let sectors. This may be vital to grow the market.
Sat Singh, Business Development Director at Contractor Mortgages Made Easy an organisation that specialises in providing quality mortgage advice for contractors stated:
"We work closely with lenders to ensure that niche contractor mortgage options are available for the sector. We will continue to engage and work with lenders throughout 2011 to provide competitive mortgage options. Our aim is to ensure competitive mortgage options remain for contractor mortgages and that we add additional lenders who will look at mortgages for contractors."
The economy does look strong in certain sectors and mortgage market will aim to reflect that. Even if the mortgage options don't increase there may still be very good mortgage products out there. There is only one way to find out.