Is now a good time to but that property? With the market so volatile, it is difficult to know whether to hold off until it stabilises or take a risk, calculated risk. House prices have dropped considerably and are continuing to do so. House prices continued to fall in January showing prices haven’t yet bottomed out. Analysts are predicting it will continue until the summer at least.
Although some brokers have said they are completing fewer mortgages the number of enquiries have however reported a higher number of enquiries this month showing appetite is there.
The main cause which I’m sure most people are aware of by now is the lack of lending from the lenders. They are severely restricting their lending and who they lend too. Only the credit savvy who can meet deposit demands are being approved for mortgages.
Although demand is there; until lenders get their balance sheets in order, the mortgage market recovery will take some time to happen. The best suggestion is to meet mortgage lenders criteria. So if you are lacking in deposit. Set a target for a deposit based on 20-25% of the mortgage that you would need to borrow and then design a plan to save this money. You could move in with your parents, ask your parents for the money, get a second job or go for a shared equity mortgage.
A shared equity mortgage will allow you to invest in a property with someone else; a close family member is common. There is also the government shared equity scheme were they will put up to usually 40 per cent of the purchase price.
If you want to explore any of these options you could get expert advice from a broker whether you are need of a Falkirk mortgage broker, or one for a mortgage in Fulham. Mortgage brokers can give you mortgage advice as well as advice on the local market. Many offer a no fee service so there is no obligation to go further than making an enquiry.
