Lenders are lending less than they were at the height of the market, with total lending in 2011 likely to be less than 40% of 2007’s total.
Lenders are also less flexible in their attitude to new prospective borrowers – and even existing ones who want a fresh loan.
For instance, a self-employed applicant running his business for 20 years and making over £100,000 per annum was refused a loan of 30% of the value of his home. This was despite the loan being less than 2.5 times his income. A professional couple, one of whom was a judge, were refused an increase in their mortgage despite the monthly repayments remaining the same.
In today’s market there are many more similar examples but with the right advice and a well connected broker we can persuade lenders to change their minds or rapidly change lender to ensure your aims are achieved.