The latest figures from the Council of Mortgage Lenders have offered up some positive data regarding the housing market, revealing an increase in activity for residential lending. First Time Buyers in particular borrowed £5.1bn in August, a 24% increase against the same time year, and a good sign that buyer confidence is improving.
With the Government Help to Buy Mortgage Guarantee scheme coming to a close at the end of the year, The Times looked this weekend at the possibilities for first-timers with only a small deposit.
The good news is that there are now over 30 lenders offering loans up to 95% loan-to-value without being reliant on the Help to Buy scheme, which is a considerable improvement compared to availability on the market 3 years ago.
At the other end of the spectrum there was also good news for older borrowers. The Observer revealed an increase in the number of lenders updating their criteria regarding the maximum age a mortgage can be repaid by.
A recent report found that there are now 10 lenders who will go up to the age of 80, and 13 who now have no maximum age limit at all. Experts warned that borrowers must be able to prove that they have enough income to afford the loan later in life, but smaller building societies in particular are able to assess applications on their own merits.
The Financial Times looked at the importance of reviewing the market to ensure that consumers are getting the best deals. As many as 3 million borrowers are currently sitting on their lender’s Standard Variable Rate, and could save thousands by switching.
To see how much you could save by switching your mortgage, have a look at our best buys and our mortgage payment calculator.
What the papers said about First Time Buyers and older borrowers