Sharp and sudden changes in both interest rates and lender criteria were the main themes running through this weekend’s financial press.
The Independent and The Sunday Times both reported that arrangement fees on an average two year fixed rate have increased from £999 to £1478 since this time last year, while The Guardian and the Financial Times also looked at the recent introduction of much tighter criteria in relation to income multiples, credit rating and size of deposit for both residential and Buy to Let mortgages.
The Daily Telegraph had advice on how to avoid negative equity, by overpaying if affordable to do so, carrying out simple improvements to increase the value of the property, and perhaps taking in a lodger and using the additional income to reduce the mortgage debt.
Elsewhere, The Times and Sunday Express discussed the importance of using brokers as well as comparison websites to find the right mortgage, and also the need to make a quick decision to avoid missing out on the best products.
The Sunday Express also looked at ways of getting onto the property ladder. This included buying with friends, Shared Ownership or getting financial help from family members. The key message was to ensure that mortgage payments are affordable, both now and in the future.