Mortgage debt repayments hit record high

20th October 2023 Arrears and Recoveries | #mortgages

Mortgage holders are repaying record amounts of mortgage debt in the higher interest rate environment, according to the Equity Release Council’s Autumn 2023 Market Report. The report says high levels of debt and a lack of pension savings make it increasingly likely that homeowners will need to borrow against the value of their properties in…

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Concerns raised over longer mortgages and rise in credit card use

The Bank of England’s Financial Stability Report has forecast a continued rise in households with high debt servicing ratios and an increase in the use of consumer credit. The report says that while households and businesses are already facing cost-of-living pressures and higher borrowing costs, the full impact of higher interest rates has yet to through…

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Over two fifths of advisers see increase in demand for interest only mortgages

2nd October 2023 Consumer Lending | #mortgages

With interest-only mortgages recently discussed as an appealing option for UK borrowers, over two fifths (44%) of mortgage advisers have seen an increase in enquiries about interest-only mortgages over the past year, according to new research from global research and insights agency Opinium. Additionally, similar research conducted from Opinium among consumers found that one in seven (15%)…

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Consumers taking steps to meet higher mortgage costs

28th September 2023 Arrears and Recoveries | #mortgages

Mortgage holders are taking new steps to manage their finances to cope with higher monthly payments and adapting their spending due to inflation, new KPMG research has found. Faced with either the immediate reality or prospect of higher mortgage rates, 1096 mortgage holders were asked whether they have either already taken, or are considering taking,…

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Third of mortgage holders don’t think they will pay off their mortgage by 65

4th September 2023 Arrears and Recoveries | #mortgages

Nearly a third of mortgage holders (32%) do not believe they will pay off their mortgage by the time they are 65, according to a survey by retirement specialist LV=. It has also being reported that HSBC has become the latest lender to increase its maximum mortgage term to 40 years, in response to rising…

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Mortgage approvals drop by 10%

The number of mortgage approvals made to home buyers fell by nearly 10% between June and July, according to Bank of England figures. The figures showed that net mortgage approvals decreased from 54,600 in June to 49,400 in July, while approvals for remortgaging slightly increased from 39,100 to 39,300 during the same period. Net borrowing…

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Four in ten mortgages held by customers beyond retirement age

17th August 2023 Consumer Collections | #mortgages

New data from Equifax  has found that four in ten (41%) of live mortgages are held by customers who will be beyond retirement age (66+) at maturity, with over a quarter of these are held by those who will be over 70 at maturity. Of the identified group of UK mortgage borrowers whose loans will not…

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High mortgages rates drive sharp downturn in demand 

A survey of agents and surveyors suggests that high mortgage rates have hit property sales, with a net 44% saying they saw a decline in sales agreed in July. The Royal Institution of Chartered Surveyors (RICS) poll saw a net 45% of estate agents and surveyors say inquiries from new buyers fell last month, with…

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Almost a third struggling to repay their mortgage

Almost a third of people are struggling to afford their mortgage repayments, new research from the Office of National Statistics (ONS) statistics have shown. The survey showed that 43% of renters and 28% of mortgage holders say they are struggling to keep up. The difference between renters’ and mortgage holders’ likelihood of experiencing some form…

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One in two mortgage borrowers fear losing their homes

12th July 2023 Consumer Collections | #mortgages

A new poll from Savanta, commissioned by the Liberal Democrats, has found that one in two mortgage borrowers fear losing their homes as a result of interest rates growth. The poll found that  46% of mortgage borrowers worried about losing their home with six in ten mortgage borrowers worried about cutting down on food bills…

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Saving for a mortgage deposit now takes ten years

4th July 2023 Consumer Lending | #mortgages

The time it takes to save for a mortgage deposit in England has hit 10 years, having significantly increased over the past decade according to new research by Generation Rent. In 2012 it would, on average, take 6.8 years to save for a deposit for a mortgage. Higher rents and house prices mean – it…

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Mortgage approvals fall

14th June 2023 Consumer Lending | #mortgages

Latest Bank of England data  £48.9 billion of new mortgages were approved for the coming months down 16.1% in a quarter, 40.7% in a year and the lowest since Q2 2020.The figures showed that £58.8 billion in mortgages was borrowed in the first three months of 2023 down 23.6% in a year and the lowest…

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Credit blips impact 53% of adult’s ability to get a mortgage

13th June 2023 Consumer Lending | #mortgages

New research by lender, Together has found that over half (53%) of adults with a credit blip have revealed that it has impacted their ability to get a mortgage, with the figures rising to 86% of those aged 18-34. The specialist lender’s survey also shows that among those who’ve had a mortgage application rejected, a…

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