The home loans of remortgages and mortgages have been through a lot of turmoil for over three years now.
Before the credit crunch remortgages and mortgages did vary slightly in popularity and in the number of remortgage and mortgage applications made each year, but they never altered from month to month or year to year in the way that they have done since the advent of the credit crunch.
As mortgages and remortgages are allied to the value of property the fact that property prices have fallen has had an adverse affect on the remortgage and mortgage sectors.
A person requires a mortgage if he wants to become a property owner for the first time or whether the person already owns his own home but wants to move house.
With property prices falling people were put off wanting to move house and this lead to a fall in the demand for mortgages.
The demand for remortgages also fell as many who would have remortgaged in the past stayed with their own building society as they were no longer eligible for a good low rate remortgage.
There are certainly low rate remortgages in the market but they are only available to homeowners with at least 30% equity on their property.
When property prices commenced on an upward trend every month from April on, it was expected that mortgage and remortgage applications would follow in their wake.
These home loans did improve slightly, but what will happen now in 2010 is uncertain.
The BSA, that is The Building Society Association has announced that they expect the mortgage market to maintain its depressed state this current year which is extremely disappointing.
As it is only a few days into January no one can possible tell what will happen this year to mortgages and remortgages but it is only to be hoped that the Building Society Authority is wrong.
Before the credit crunch remortgages and mortgages did vary slightly in popularity and in the number of remortgage and mortgage applications made each year, but they never altered from month to month or year to year in the way that they have done since the advent of the credit crunch.
As mortgages and remortgages are allied to the value of property the fact that property prices have fallen has had an adverse affect on the remortgage and mortgage sectors.
A person requires a mortgage if he wants to become a property owner for the first time or whether the person already owns his own home but wants to move house.
With property prices falling people were put off wanting to move house and this lead to a fall in the demand for mortgages.
The demand for remortgages also fell as many who would have remortgaged in the past stayed with their own building society as they were no longer eligible for a good low rate remortgage.
There are certainly low rate remortgages in the market but they are only available to homeowners with at least 30% equity on their property.
When property prices commenced on an upward trend every month from April on, it was expected that mortgage and remortgage applications would follow in their wake.
These home loans did improve slightly, but what will happen now in 2010 is uncertain.
The BSA, that is The Building Society Association has announced that they expect the mortgage market to maintain its depressed state this current year which is extremely disappointing.
As it is only a few days into January no one can possible tell what will happen this year to mortgages and remortgages but it is only to be hoped that the Building Society Authority is wrong.
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