Specialist lending 'not affected' by interest rate increases

19-Dec-2006

The number of first time buyers and repeat purchasers opting for specialist mortgages has not been affected by recent interest rate rises, a study suggests.

According to a study of 1,300 intermediaries by UCB Home Loans, over 80 per cent of mortgage brokers believe that recent interest rate changes have not affected the number of second and first time buyers taking self-certification mortgages.

First time buyers concerned about how an increase in interest rates might effect how much they would have to pay each month should consult a good broker.

Within the buy-to-let sector, 60 per cent of intermediaries confirmed that sales had been unaffected by recent increases, while 33 per cent reported a rise in new mortgage purchases.

To find out how to get onto the property ladder by buying to let somewhere else click here.

"Brokers are expecting house price rises to slow down next year, which is a pretty reasonable assumption," said Keith Astill, managing director at UCB Home Loans.

"However, despite the fact that rate rises have had some effect on the self-certification and buy-to-let sectors, the majority of brokers are still reporting that business has been growing," he added.

UCB Home Loans is the specialist lending division of Nationwide.

2008: May | Apr | Mar | Feb | Jan

2007: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2006: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2005: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar