Mortgages
With recent economic troubles still very much at the forefront of lenders’ minds, you might well consider that obtaining a good mortgage deal would now be harder than ever. Although this can certainly be true in many cases, there is another factor which has actually caused it to be easier for some people, rather than harder.
One of the effects of the global recession is that property prices have been hit hard. With house prices falling, obtaining a property needs less financial commitment. But of course, many homeowners aren’t selling with prices so low, to avoid negative equity situations. This has resulted in a massive slowdown in the retail market, with fewer applications for mortgages.
Mortgage companies may be more cautious – but they still need to provide mortgages in order to stay in business. Therefore if your personal financial situation is stable, you may well be able to find properties below normal valuation, and mortgage companies only too eager to lend to reputable, stable buyers at rates which are significantly more competitive than some seen only a year ago.