Fee Free Advice with all our Mortgages

We try to give you the facts

The increase in equity release pricing is raising concern with rolling-up debt hitting the property value faster

Landlords could face bills of up to £10,000 per property under new EPC proposals

How will the change affect you?

but still remains in double digits

What is Tenants in Common?

The Financial Conduct Authority has today (02/04/2020) proposed a range of new measures to support households facing sudden financial hardship as result of the coronavirus, including three-month payment freezes on loans and credit card debt. The package, intended to complement relief already announced by government to support mortgage holders, furloughed staff, renters and the self-employed, also includes pledges to slash interest rates on arranged overdrafts up to 500 pounds to zero, for up to three months. The FCA, which supervises banks and credit providers across Britain also said consumers using any of these temporary measures should not see their credit rating affected. It also said it would ensure all overdraft customers were no worse off on price when compared to prices they were charged before recent overdraft changes came into force.

Nationwide Building Society has brought back its two-year residential tracker mortgages just days after the product was withdrawn from its offering. The mortgages will go live on 25 March, with house purchase and first-time buyer products starting from a rate of 1.39 per cent and remortgages from 1.19 per cent. The products will cover a range of loan to value tiers and come with both £0 and £999 fee options. Henry Jordan, director of mortgages at Nationwide, said the society took the “prudent decision” to consider the impact of the two interest rate cuts on its range. “We are re-introducing two-year trackers to our mortgage range to enable us to offer products with flexibility and no early repayment charges,” he said. Rate reduction Nationwide has also announced it will pass on a further 0.15 per cent rate reduction to existing variable rate borrowers to reflect the cuts made to the Bank of England bank rate. This follows on from the society confirming it would pass on the initial 0.50 per cent reduction to borrowers from 1 April. With the bank rate now at a record low of 0.10 per cent, Nationwide’s base mortgage rate (BMR) and standard mortgage rate (SMR) will reduce by an additional 0.15 per cent to 2.10 per cent and 3.59 per cent respectively, with these new rates coming into effect on 15 April. Borrowers on an existing tracker rate mortgage will also see their rates reduce by a further 0.15 per cent. Jordan added: “With a second cut in interest rates in just over a week, it is important that borrowers have clarity about what this second change means for them and the future interest and payments on their mortgages. “By passing on this latest rate reduction in full, from 15 April, we hope to minimise mortgage costs for our members during this difficult period.” Earlier, the society closed its dedicated broker support line as a result of government advice surrounding coronavirus. Jordan added: “While we continue to work hard with valuation and conveyancing partners to progress applications, we ask members and brokers to bear with us during what is an unprecedented period.”

Following chancellor Rishi Sunak’s announcement that mortgage lenders would offer a three month holiday on repayments, the bank has confirmed it will offer other rescue measures, as well at the 90 day break, depending on the borrowers’ needs. The bank said it would consider switching borrowers from capital repayment to interest-only for up to 12 months. Further measures to help borrowers include an extension of the mortgage term to lower payments, and the availability of short and long term repayment plans for missed mortgage payments. Borrowers who think they will face financial difficulty are being told to contact the bank to speak to one of its specialist support teams to discuss their options. A Barclays spokesperson said: “As a responsible lender, it is crucial that we offer the right support to our customers at this time. “We have therefore decided to offer customers who are potentially facing financial difficulty, a number of options to support them through this time.” Before the chancellor’s address to the nation yesterday evening, Mortgage Solutions reported Lloyds Banking Group had pledged not to charge borrowers fees on missed mortgage payments. That bank, along with NatWest, Nationwide and Barclays, have all confirmed taking a payment holiday will not leave a black mark on borrowers’ credit profiles.