Mortgage Strategy
19 April 2004

  • 2003 boom time for most EU property growth, reveals RCIS

    23 Apr 2004

    The Royal Institute of Chartered Surveyors has revealed that more European countries experienced double-digit house price inflation last year than in the previous year. The booming markets in Spain and the UK were joined by France and Ireland. However, none are expected to keep up such rates of house price increase in 2004. But at the other end of the scale, more European countries' housing markets stagnated in 2003, with previously static Germany and Austria joined ...

  • A frantic week as repricing grips market

    19 Apr 2004

    The rough costs to a lender of buying a tranche of money to lend as a fixed rate - known as swap rates - continued to rise last week. • One-year money is unchanged at 4.79% • Two-year money is up 0.03% to 4.99% • Three-year money is up 0.03% to 5.08% • Five-year money is up 0.06% to 5.18% As lenders' tranches have run dry, last week saw a flurry of rate pulls and increases. Northern Rock has announced the withdrawal of its two-year ...

  • A&L streamlines online application system

    21 Apr 2004

    Alliance & Leicester has streamlined its online application system to simplify and speed up the mortgage application process for mortgage intermediaries. From April 20, A&L says its paper-based application, used in conjunction with online submissions, will be replaced by a more simple customer declaration document which needs to be returned prior to completion. Merhdad Yousefi, head of intermediary mortgages at A&L, says: "This latest development takes away the need ...

  • Abbey for Intermediaries launches awareness campaign on offset deals

    19 Apr 2004

    Abbey for Intermediaries has more than 20,000 intermediaries in its sights with the launch of an awareness campaign on offset mortgages. Intermediaries are being invited to send for a sales and information pack illustrating in detail how Abbey's Flexible Plus offset savings mortgage works. The pack will also include customer-focussed literature to help clients visualise the benefits of offsetting, as well as sample mortgage statements, case studies and competitor comparisons. ...

  • Advantage Mortgage Services appoints regional sales managers

    19 Apr 2004

    Advantage Mortgage Services has appointed two regional sales managers for the North and South to deal with growing demand. Jeff Dawson will head the northern region. He joined the company five years ago and has been a key figure in the growth of the business. Advantage is looking to increase its northern presence with representatives in Scotland and Northern Ireland to meet the needs of the mortgage network members. Jason Neale, formerly of GMAC-RFC, will manage the southern ...

  • All your network questions answered by the industry's leading experts

    19 Apr 2004

    What choice of mortgage sourcing systems will I have? Chris French is managing director of the Mortgage Marketing Centre As an AR you will be given little or no choice of sourcing systems. The network's lender panel and products will be on a system provided to you and without the permission of your network you will not be able to get off-system products. Most networks will offer a comprehensive lender and product choice. Vic Jannels is managing ...

  • B&W launches three-year self-cert deals

    21 Apr 2004

    Bristol & West Mortgages has launched two three-year fixed self-certification mortgages, available up to 85% and 90% LTV. The mortgages can be obtained at a rate of 5.49% up to 85% LTV and 5.79% up to 90% LTV. The deals come with 1% customer cashback - just in time for any refurbishments brokers' clients may have planned or to cover the cost of legal fees. Bob Stanworth, senior product manager at B&W, says: "The fixed rates offered are highly competitive and with ...

  • B&W launches two offset mortgages

    20 Apr 2004

    Bristol & West Mortgages is launching two offset mortgages with the added security of a capped rate. Brokers clients can choose either a 4.89% at Bank base rate plus 0.89% for the term of the mortgage, capped at 5.89%. Or they can opt for a deal at 4.99% , Bank base rate plus 0.99% for the term of the mortgage capped at 5.99% with free legals for remortgagers and free valuation. Given the widely predicted view that interest rates will continue to rise, brokers' ...

  • Banco Halifax Hispania reduces rates on Spanish mortgages

    22 Apr 2004

    Banco Halifax Hispania, the Spanish arm of Halifax, has today reduced the interest rate charged on its Spanish mortgages. The company says that while the UK's mortgage rate has been rising, the situation in Spain is very different. The new rates are 3.05% for loans below 60% of the valuation of the property and 3.30% for loans between 60% and 70%. All mortgages from BHH are in euros and secured against the Spanish property. The Office for National Statistics ...

  • Bankhall poised to take over NU mortgage club

    19 Apr 2004

    Speculation was mounting last week as Mortgage Strategy went to press that Bankhall is to buy Norwich Union's mortgage club, bringing its total intermediary base to around 40,000. Although both Bankhall and NU refused to comment on what they say is market speculation, sources believe the deal is definitely going ahead and its announcement is imminent. The deal would put Bankhall in a prime position in the run-up to regulation as by far the biggest force in the mortgage ...

  • Banking-Insurance Sevices appoints general manager

    21 Apr 2004

    Banking-Insurance Services Limited has appointed Paul Bennington as general manager for administration and compliance. Bennington, former managing director of BISL, has been asked by the board to spearhead the development of its lead generation and appointed representative solution. This is the first appointment resulting from a reshuffle of responsibilities and further appointments which will be announced shortly. BISL has grown from a simple general insurance internet ...

  • Banks slammed over pay secrecy

    19 Apr 2004

    A research firm has criticised some of the UK's biggest banks for a lack of transparency in the way top executives' total pay packages are disclosed. Independent Remuneration Solutions looked into the 2003 annual reports of the 10 biggest companies in the UK including HBOS, HSBC, Barclays, Royal Bank of Scotland and Lloyds TSB. James Crosby of HBOS reported a rise in remuneration of 110% and Sir John Bond of HSBC a rise of 96%. But Barclays' head Matt Barrett ...

  • BDS Mortgage Group unveils high net worth tracker deals

    19 Apr 2004

    BDS Mortgage Group has unveiled a range of exclusive high net worth base rate trackers from BM Solutions. The products have been designed to attract high balance mortgages from high net worth professionals. Loan sizes range from £150,000 to £2m plus with a two-year discount followed by base rate plus 0.85% for the life of the loan. The product range is flexible allowing for overpayments, payment holidays, underpayments and a drawdown facility. Phil ...

  • Big mutual with a lot to offer intermediaries

    19 Apr 2004

    Q: How is the Portman Group structured to deal with intermediaries? A: The Portman Group encompasses three main brands: Portman, The Staffordshire and The Mortgage Works. Although The Staffordshire remains a retail brand in the West Midlands, the products on offer have now been harmonised with Portman as far as intermediaries are concerned. Therefore, there is a single portfolio of prime products on offer from Portman. We also have our specialist ...

  • BM Soutions appoints key account manager for central London

    23 Apr 2004

    BM Solutions, recently named as the biggest buy-to-let lender for gross advances by the CML, has appointed Helen McGrigor as key account manager for central London. Prior to joining the UK's biggest specialist lender, McGrigor spent six years plying her trade at Bradford & Bingley subsidiary Mortgage Express. She has also worked in senior sales roles for Yorkshire and Bank of Scotland respectively. McGrigor will be the first point of contact for BM Solutions' ...

  • BuildStore enhances home improvement mortgage

    20 Apr 2004

    BuildStore has introduced significant enhancements to its BuildLoan scheme to make life easier for people wanting to buy a house which needs work done on it to bring it upto standard. The BuildLoan Ideal Home Improvement Mortgage does away with the cashflow problems home improvers can have as a result of lenders not normally releasing money for the improvements until the work has been finished and inspected by a valuer. Typically a lender will lend up to 95% of the cost ...

  • Charcol launches buy-to-let lifetime tracker

    21 Apr 2004

    Charcol has launched a buy-to-let lifetime tracker mortgage pegged at 0.85% above base rate - giving a current pay rate of 4.85%. The mortgage is available up to 75% LTV and offers 0.5% cashback to help buy-to-let investors with purchase or remortgage costs. Ray Boulger, senior technical manager at Charcol, says: "This deal offers superb value for buy-to-let investors who don't need to borrow more than 75% of the property value. In addition, because the pay rate ...

  • Charcol relaunches Federal Reserve mortgage

    20 Apr 2004

    Charcol has relaunched its Federal Reserve Mortgage. This is a tracker mortgage based on the lower US short-term interest rates but without any currency risk whatsoever because all borrowing is in sterling. The initial rate is 2.99% to 30/09/04, after which the mortgage will track US$ three-month LIBOR plus a margin of 1.25% for 10 years from that date. US$ three month LIBOR is currently 1.15%, indicating a pay rate of 2.40%, even lower than the initial ...

  • CHL sets out to woo self-cert customers

    19 Apr 2004

    Capital Home Loans has launched what it believes to be the market's cheapest self-cert tracker in a move to build itself a larger stake in the self-employed market. The tracker has been pegged to Bank base rate plus 0.74% until June 1 2007, giving it a current rate of 4.74%, to woo more self-cert customers, taking on the likes of BM Solutions. In line with CHL's long-standing policy the product is limited to the self- employed. The lender avoids offering self-cert ...

  • CII responds to exam review consultation

    21 Apr 2004

    The CII has published its response to the Financial Services Skills Council consultation paper on appropriate exams for mortgages, investment advice and long-term care insurance. In February the CII published its proposed financial planning qualifications framework and has carried out its own consultation with practitioners and firms. CII director-general Sandy Scott says: "Our consultation programme has reinforced that these are challenging times for the long-term savings ...

  • Citizens Advice warns MPs of escalating debt crisis

    21 Apr 2004

    Problem-solving charity Citizens Advice yesterday warned MPs and opinion-formers about the UK's escalating debt crisis and has called for an effective strategy to tackle the problem. Citizens Advice director of policy Teresa Perchard attended a debt seminar organised by the Conservatives in the House of Commons. It is almost a year since Citizens Advice published an in-depth review of the problem, In Too Deep, that found that on average Citizens Advice Bureaux clients ...

  • City warns of price meltdown

    19 Apr 2004

    City pundits warned last week that the housing market is heading for meltdown with forecasts of a drop in house prices ranging between 15% and 30%. The first to pitch in was fund manager Tony Dye, chief executive of Dye Asset Management. Nicknamed 'Dr Doom' for his accurate prediction of the end of the dotcom bubble, Dye says he expects a fall of 30% and dismisses claims that the market will experience a soft landing. Dye says: "Homes are expensive relative to people's ...

  • Civil engineers and foresters looking to join RCIS

    20 Apr 2004

    Two professional organisations are interested in joining forces with the 110,000-member RICS. Members of the 800-strong Institute of Chartered Foresters have similar standards and procedures in education and standard setting, and with close links with the rural economy, many feel that ICF members make natural partners with chartered surveyors. At its March AGM, the ICF gave the green light to talks about a possible merger with RICS, while RICS Governing Council approved ...

  • CML figures sign market still strong, says The MarketPlace

    23 Apr 2004

    CML figures showing a 19.5% increase in March show the mortgage market is still strong and not deflating in 2004, says The MarketPlace. Elliot Nathan, mortgage development manager for The MarketPlace at Bradford & Bingley, says: "It is encouraging to see that the proportion of first time buyers is increasing, albeit at a very moderate pace. "Accounting for 31% of the total lending, the figure is still lower than its historical norm of 40-45%, but ...

  • Concern over offset sales

    19 Apr 2004

    Concern is mounting that borrowers are being advised to take out offset mortgages despite the product not being suitable for them. Some brokers have commented that consumers going direct to lenders are being 'blinded with science' and being advised to take out offset deals regardless of their circumstances. Ruth Whitehead, principal of London-based Ruth Whitehead Associates, fears people are being recommended to take the product because it is the flavour of the ...

  • Controversy could hit AMI's reputation

    19 Apr 2004

    Industry concern is mounting that AMI chairman Charles Gooding's decision to launch his own mortgage network could damage the trade body's reputation. Matt Grayson, spokesman for BM Solutions, says: "Any controversial situation like this creates reputational damage. However, it is expected that the good work AMI has done will outweigh negative coverage in the long-term." And IMLA deputy chairman John Heron adds: "AMI is in charge of its own destiny." Charles ...

  • Curriculum Vitae - John Prust

    19 Apr 2004

    Name: John Prust Age: 45 Company: Southern Pacific Mortgage Limited Job Title: Sales and marketing director Where do you live? Pinner, Middlesex Describe your current job: SPML's marketing team and its regional sales teams report to me. My responsibilities include liaising with our packager panel and all other activities that further the achievement of sales targets. What was your first ...

  • DA could be an expensive option

    19 Apr 2004

    Hooray, we have passed the March 31 date and are within 10 working days of the April 30 date now being widely touted around the industry as the 'real' deadline for mortgage firms that wish to become directly authorised. The FSA has already issued reminders that applications need to be submitted by that date to fall within the six-month timescale (before October 31) during which the FSA is legally bound to process an application. The FSA is - or perhaps I should ...

  • DA figures on track to exceed expectations

    19 Apr 2004

    The Mortgage Code Compliance Board has indicated that the number of brokers opting for direct authorisation will be almost double the FSA's original anticipated figure of 7,000. Brad Baker, head of communications at the MCCB, tells Mortgage Strategy that the board expects the majority of brokers to take the DA route rather than join networks. He says: "The indications are that there are more firms going down the directly authorised route than was originally anticipated. "The ...

  • Dear Dippy

    19 Apr 2004

    Dear Dippy Mr Buckley is a warehouseman earning £22,000 per year. His wife earns £18,000 a year as a supermarket supervisor. They live in a rented flat in Glasgow and have seen a house they want to buy in the city. They fear it is beyond their means at £110,000. They can afford a 10% deposit and have one small CCJ that is two years old. What are their options? Dippy says: This case highlights the dilemma facing first-time buyers as house prices continue to creep ...

  • Don't forget that other registration deadline

    19 Apr 2004

    Brokers who have not yet reregistered with the Mortgage Code Compliance Board may break out in a cold sweat when they are reminded that registration renewal forms received by the board after April 30 will not be accepted. After this date the firm will have to apply for registration as if it were a new company - which will involve extra administration costs as well as an additional fitness and propriety checking fee. But for those brokers who intend to become appointed ...

  • Enable and Pru launch MPPI plan

    23 Apr 2004

    Enable and Prudential are set to launch an innovative mortgage protection plan designed to compete directly with ASU, in summer 2004. Available to advisers exclusively through enable Mortgage & Insurance Network and their partners, the product offers extended sickness cover, with guaranteed premiums, for the full term of the mortgage subject to a maximum age of 65 years. Under traditional ASU contracts, sickness cover ceases to be paid out after 12 months. It also provides ...

  • Enterprise moves to raise profile

    19 Apr 2004

    Enterprise Homeloans, the exclusive non-conforming mortgage packager for Zurich, has appointed Paradigm Consulting to manage its marketing and public relations. Michael Clapper, chief executive of Enterprise, says: "We are turning our attention to the optimum presentation of our service to customers. Appointing Paradigm gives an extra strategic dimension to our offering while ensuring our management can continue driving our core business." Chris Fleetwood, partner at ...

  • Exclusive: Bankhall poised to buy Norwich Union mortgage club

    19 Apr 2004

    Speculation is mounting that Bankhall is to buy Norwich Union's mortgage club, bringing its total intermediary base to around 40,000. Although both Bankhall and NU refused to comment on what they say is market speculation sources believe the deal is definitely going ahead and its announcement is imminent. Such a deal would put Bankhall in a prime position in the run-up to FSA regulation as by far the biggest force in the mortgage adviser support area. A source ...

  • Exclusive: Mortgage Advice Bureau to launch network

    21 Apr 2004

    Franchise operation Mortgage Advice Bureau is setting up a network targeting smaller L&G intermediary business partners looking to become part of a bigger business under FSA regulation. MAB is currently L&G's top producing mortgage-based intermediary and is set to become one of the biggest members of its new principal network offering, the L&G Partnership. Smaller intermediaries who join the MAB network will be able to access services like compliance from L&G and ...

  • Exclusive: NU Club to be integrated under PMS brand

    20 Apr 2004

    The Norwich Union Mortgage Club will be integrated under Bankhall's Premier brand over the next 12 months. As Mortgage Strategy exclusively revealed yesterday the club has been purchased by Bankhall for an undisclosed sum, joining Premier Mortgage Service, purchased from Prudential. Shaun Godfrey, Bankhall group sales director, says both the NU Mortgage Club and Bankhall's mortgage club, Point One, will now be merged under the Premier Mortgage Services brand. Norwich ...

  • Former Axis PR guru publishes pop culture book

    21 Apr 2004

    Former Axis PR guru Paul Wellings - who describes himself as the bastard offspring ofBurchill and Parsons' - has written a memoir of his days as a fledgling pop idol, pirate radio jock, working on NME and his desire not to praise Tony Blair but to bury him. The book, 'I'm a Journalist Get Me Out of Here!', covers subjects as diverse as music, sex, drugs, clothes, politics, movies, books and the attempted alienation of the working class. Wellings was widely ...

  • FOS staff paid extra to cope

    19 Apr 2004

    A BBC exposé of the Financial Ombudsman Service has revealed that the complaints handler is paying its staff bonuses to close cases quickly as it struggles to deal with an influx of claims. Radio 4's Money Box Investigates, aired last Tuesday night, revealed FOS staff are given targets and paid bonuses for closing cases. The programme also questioned the consistency and quality of service at the Ombudsman which will be dealing with mortgage and general insurance ...

  • FSA expecting peak in applications in run-up to April 30

    21 Apr 2004

    The FSA says it is expecting another peak in application levels in the run-up to April 30 - the date by which applications have to be submitted for a firm to be certain it will be processed by October 31. The FSA says it will make every effort to ensure that application packs received after April 30 are processed in time for Mortgage Day, although this cannot be guaranteed. Under the Financial Services and Markets Act the FSA has six months from the date an application is received ...

  • Getting a solid T&C regime in place

    19 Apr 2004

    This week I'm still looking at obligations under the FSA's training and competence sourcebook. You will be relieved to know this is not as daunting in size as the FSA's handbook. The T&C Sourcebook contains just two chapters entitled 'Commitments' and 'Detailed rules and guidance'. The first thing is to decide which chapter or chapters apply to you. Chapter one (TC1) will apply to everyone associated with regulated mortgage contracts (i.e. if you ...

  • GMAC pulls 25-year fixed rate deal

    19 Apr 2004

    GMAC-RFC has pulled its innovative 25-year fixed rate mortgage, blaming rising swap rates and lack of demand just two months after its launch. Despite garnering publicity in the national press the deal ultimately failed to deliver volume sales. When the product was first released in February it was hoped it would help make longer term fixes more attractive in the wake of the Miles review. As part of the mortgage, borrowers would pay no more than 5.95% for the ...

  • GMAC-RFC unveils non-conforming range

    22 Apr 2004

    GMAC-RFC has launched a range of products for non-conforming clients. In addition to the market leading rates already on offer, a range incorporating Bank base rate discount tracker options is now available. Key features of the non-conforming range include: ? A discounted base rate tracker, starting at 4.85%, discounted for six months from completion. ? A two-year no tail fixed rate, starting at 6.15%. ? Early redemption charge applies for ...

  • House prices jump 2% in March, NAEA survey reveals

    19 Apr 2004

    House prices jumped up 2% in March while estate agents' optimism continues to rise, the latest survey by the National Association of Estate Agents reveals. The survey shows that house prices are up 2% from February and 12% from last year - the highest rate of annual inflation for over a year. Sale prices achieved are at an average 97.7% of the asking price - the highest since 2002 But the NAEA says transaction levels remain stable, not helped by the limited number of ...

  • House prices rising twice as fast as in 2003, says Rightmove

    20 Apr 2004

    Rightmove has revealed that house prices are rising twice as fast as they were in 2003. This increase follows large rises of 2.0% in March and 4.1% in February. Asking prices in the capital are up by 7.2% since January, compared with a slight decline of minus 0.2% last year. Boroughs in the west of the capital have been recording the largest rises in asking prices this month, with Hounslow up by 6.7%, Hammersmith & Fulham up by 6.4%, Ealing 4.7%, Kingston-upon-Thames ...

  • IF tops financial products survey

    21 Apr 2004

    Intelligent Finance has come top of PressWatch Media's Financial Products 2004 survey for the third month in a row. In March 2004 IF was ranked number one of 651 financial services covered by the UK national media. IF outscored parent company Halifax in second place, and perennial financial products favourite Nationwide finished third. IF's cash Isa received widespread media support in March as the Isa market reached its seasonal highpoint. IF was also praised for ...

  • Infinity appoints Tony FitzSimons as non-executive director

    20 Apr 2004

    Infinity Mortgages has appointed Tony FitzSimons, former chief executive of Bristol & West, as a non-executive director. Prior to joining Bristol & West, he was managing director of personal banking for Citibank and managing director of Chef and Brewer, GrandMet now Diageo, the largest licensed retailer in the country. He was also an international finance director in Rank Xerox and the brewing and retail division of GrandMet. More recently he has concentrated advising ...

  • Inspecting the role of the surveyor

    19 Apr 2004

    The estate agent has found the house and you have arranged the mortgage. The next obstacle is the survey - but how many brokers really understand what this is all about? What are surveyors and what do they do? Surveyors don't just value and inspect homes - they get involved in areas related to land and properties of all types. The professional body, the Royal Institution of Chartered Surveyors, lists 16 specialist areas (see box). These give an indication as ...

  • Internet Insite

    19 Apr 2004

    My round Britain tour of broker websites has arrived in Birmingham this week. There are three quite different approaches to websites in my selection. The mortgage choices offering starts well but like many websites doesn't carry this early promise through the site. And the advertising links, presumably there to create a bit of income, just get in the way and damage the overall effect. Emerald Finance has a simple site but misses the opportunity to create a strong impression, ...

  • Invitation to join unique 'payment by results' PR service

    22 Apr 2004

    Llewellyn-Slade PR is inviting up to three more financial services companies to apply to join its unique retainer-free, payment by results PR service Transparency. Successful applicants will join existing high profile clients such as Bankhall and Mortgage Intelligence, in benefiting from LSPR's leading-edge approach to build their profile and enhance their reputation among their target audiences. Transparency clients pay no ongoing monthly retainer or fixed project ...

  • Is the £70m deal a sign of things to come?

    19 Apr 2004

    The revelation last week that a London property had been sold for a record- breaking £70m illustrated the buoyancy of the housing market once again. While the sale of the Kensington Palace Gardens home to steel magnate Lakshmi Mittal may be in a different league to virtually all other UK property deals it does at least show that people are still willing to face up to ever-rising house prices. When the property was first put on the market in 2001 it failed to achieve ...

  • It's a London thing

    19 Apr 2004

    As the saying goes, when a man is tired of London he is tired of life. This is as true today as it was when Samuel Johnson first said it, and is reflected in London's continuing popularity with businesses, tourists and the thousands of people who flock to the capital to live and work each year. In a recent speech at London's own mini-Manhattan on the Isle of Dogs, Chancellor Gordon Brown praised the capital's internationalism, its adaptability and its enterprise. He pointed ...

  • It's authorisation Or bust for brokers

    19 Apr 2004

    The Mortgage Code Compliance Board has expressed concern that some mortgage intermediary firms seem still to be unaware of the significance of the regulatory changes occurring later this year and of the actions that are required if a firm wishes to remain in the industry. It is vital that firms realise the importance of submitting completed applications for FSA authorisation by April 30 as the FSA cannot guarantee processing applications received after that date in time for Mortgage ...

  • Lender accused of elitism

    19 Apr 2004

    A broker has accused Newcastle of elitism over its refusal to offer its products to all brokers. Chelsea Mortgage Management says it recently contacted the building society with a view to doing business to it but was told that it only introduced to selected brokers, including Savills and Charcol. Simon Bucknell, business development manager at Chelsea Mortgage Management, says: "I spoke to the business development manager at Newcastle and he told me that it did not take ...

  • Lib Dem calls on lenders to set fresh guidelines on debt

    23 Apr 2004

    Liberal Democrat shadow chancellor Vince Cable has called on British banks and money lending institutions to set fresh guidelines for acceptable levels of debt. Speaking at the British Bankers' Association annual responsible lending conference, Cable urged the banking industry not to be complacent about rising levels of consumer debt. He says: "It cannot be avoided the fact that by this summer individuals are collectively going to be more than £1tn in debt ...

  • Lib Dems criticise rising lending multiples

    19 Apr 2004

    The Liberal Democrats have warned that consumers are borrowing more on their mortgages than they can afford and many risk finding themselves in negative equity. The party is basing its warning on figures showing one in 10 borrowers have taken out a mortgage loan worth 4 x their salary or more. Vince Cable MP, Liberal Democrat shadow Chancellor, says: "This type of lending is recklessly fuelling the housing boom. Many of those borrowers will find themselves in negative ...

  • Marketing Brief

    19 Apr 2004

    In my A to Z of lenders' intermediary marketing material I've arrived at N, with NatWest and Newcastle. Those nice people at NatWest were keen for me to compare their new intermediary packs with the old material so they sent me both. And yes, the new stuff does look better than the old. But I do think that by sticking with the previous design concept of 'your mortgages cases solved', in which the bank's relationship manager is supposed to be the case-solving detective and ...

  • Martin Hamblin GfK to reveal findings of consumer confidence survey

    21 Apr 2004

    Market research company Martin Hamblin GfK will be holding a complimentary one-hour presentation outlining key findings in its consumer confidence survey on May 11. Its UK consumer confidence figures, produced for the European Commission, are being released onApril 29. The presentations will look at consumers' confidence of spending, personal finances, general economy, inflation and unemployment over recent months. In addition to the usual quarterly investigation ...

  • MCCB urges firms to submit FSA applications by April 30

    19 Apr 2004

    The Mortgage Code Compliance Board has warned firms that they must submit completed applications for FSA authorisation by April 30 2004 or risk being forced to cease trading. The MCCB has expressed concern that a minority of mortgage intermediary firms still seem to be unaware of the significance of the regulatory changes occurring later this year and of the actions that are required if a firm wishes to remain in the mortgage industry. It says that it is vital for firms ...

  • More needs to be done for consumer credit, say Lib Dems

    23 Apr 2004

    Liberal Democrat MP Norman Lamb haswarned that although customer credit information is improving since the report of the Treasury Select Committee, much more needs to be done. He says: "I will continue to press the case for the cost of credit to be shown in pounds and pence by using clear examples. "I urge companies which support this concept to launch that information on a competitive basis. The Lib Democrats want to maintain the pressure on others to follow suit." Lamb ...

  • Mortgage lending rises by 19.5% in March

    23 Apr 2004

    Mortgage lending rose by 19.5% in March, latest data from the Council of Mortgage Lenders reveals. A total of £24.5bn of gross advances was lent in March, up from £20.5bn in February and 25% higher than the £19.6bn lent in March last year. This level of lending was the strongest for four months, and could be a record when adjusted for seasonal factors. Within this total, lending for house purchase showed the strongest increase. At £11.3bn, ...

  • Mortgage Sense offers £99 valuation fees on Kensington deals

    21 Apr 2004

    Sub-prime packager Mortgage Sense has unveiled an offer of £99 valuation fees for all valuations carried out up to £100,000, and £200 for valuations between £100,000 and £250,000 on any Kensington Mortgages cases submitted for a limited period. A 1% procuration fee will be payable on all Kensington applications - except Kensington's very low adverse range where a procuration fee of 0.5% will be payable. No administration fees will be charged ...

  • MPC torn between boom and bubble, say Lib Dems

    22 Apr 2004

    The Liberal Democrats have described the Monetary Policy Committee as torn between a fear of extending the credit boom and causing the credit bubble to burst. Commenting on yesterday's Monetary Policy Committee minutes Vince Cable MP, Liberal Democrat shadow chancellor, says: "The minutes show that the Bank of England is concerned about the rise in debt and is contemplating interest rate increases. "Some at the Bank believe that levels of debt are making households ...

  • NGM seeks regional satellite packaging partners

    20 Apr 2004

    Next Generation Mortgages has launched a major offensive to recruit 20 quality intermediaries capable of becoming the company's first regional satellite packaging partners. Cardiff-based NGM, a major partner to lenders such as igroup, SPML, TMB, Preferred Mortgages, First National, Mortgages PLC, Platform and Future Mortgages, is offering an attractive range of benefits and support services to those companies who join the satellite scheme. These include an enhanced ...

  • NORWICH UNION AGREES SALE OF MORTGAGE CLUB TO BANKHALL

    19 Apr 2004

    Norwich Union has agreed to sell the Norwich Union Mortgage Club to Bankhall, one of the UK's leading suppliers of intermediary services. Mortgage Strategy exclusively revealed news of the groundbreaking deal this morning. The sale is expected to complete by the end of the first week in May 2004. NUMC is currently the fourth biggest mortgage broker club in the UK, representing 35 lenders and distributing mortgages through more than 7,000 intermediaries. In 2003, NUMC ...

  • Offering principals support

    19 Apr 2004

    Cardiff-based Next Generation Mortgages is launching a support service targeting intermediaries applying to be directly authorised by the FSA. There will be no upfront fee for principals or prospective principals signing up to the service but they must commit to submitting two specialist mortgage cases through NGM every month. Features of the NGM Principal offering are: compliance support including a member manual, file checking and a 24-hour member helpdesk; access to ...

  • One in four people set to have mortgage at retirement, says Prudential

    22 Apr 2004

    One in four, or 12.5 million, people in the UK are set to have a mortgage at retirement, research from Prudential reveals. The research also shows that just over four in 10 first-time buyers are over the age of 35 and that over 10 million people over 35 have started a new mortgage term. Prudential says that as first-time buyers become older and more people start a new mortgage term when they move home, a growing number of people will see their mortgage crash into their ...

  • Outspoken Monty Burn to join MS as columnist

    19 Apr 2004

    Mortgage Watchdog chairman Monty Burn has announced his retirement from broking and is to join Mortgage Strategy as a columnist. Burn, a former compliance officer, says it's time for him to take a less active role. He says: "I have taken Mortgage Watchdog as far as I can on limited resources and the company must either form an alliance with a packager or get an injection of funds. I am relinquishing ownership and will write for Mortgage Strategy as I have views on ...

  • Packager Knight Funding announces 100% business growth

    19 Apr 2004

    Packager Knight Funding has announced 100% business growth in its latest financial year report - doubling turnover and staff numbers. Knight Funding now employs 30 members of staff. Its growing niche and non-confirming lender panel includes TMB, Platform Home Loans and Kensington. Branded lending with GMAC-RFC enhances the facilities available on the packaging side and intermediaries can also access mainstream lenders through the Knight Funding Mortgage Club. Frances ...

  • Paul Thomas to head Opus Commercial

    19 Apr 2004

    Paul Thomas, who last year quit as chief operating officer of Mortgages PLC, has joined Glasgow-based Opus Commercial as managing director. Mortgage Strategy exclusively revealed in December last year that Thomas, 48, was leaving the specialist lender. Thomas says he will now take responsibility for turning Opus' commercial arm into one of the most respected business finance funding organisations in the UK. Thomas says: "Opus Commercial was recently established ...

  • Platinum plated insurance legislation is not needed

    19 Apr 2004

    An open letter to Gordon Brown, Chancellor of the Exchequer, from Nicholas Brooke, president of the Royal Institution of Chartered Surveyors I am writing to express my deep concern at the likely impact of the UK's approach to implementing one aspect of the Insurance Mediation Directive. As president of RICS, a leading authority on matters relating to land and property, I am concerned about impact the Financial Services Authority's approach will have on our members and more ...

  • Regency reveals record profits in 2003

    20 Apr 2004

    Regency Mortgage Corporation has revealed record profits in 2003. The direct to consumer mortgage broker says that turnover has doubled on the previous year to £12m, with loan completions rising by over 80% from £96m to £174m. To handle the increase, Regency's staff numbers also doubled during the course of the year, to over 150. Fin McGurran, chief executive of Regency, says: "2003 was a significant year for the company. The steps taken to shape ...

  • Regulation good for all, says MGM Home Finance

    23 Apr 2004

    MGM Home Finance says it has seen evidence that the introduction of regulation need not be as negative as many have portrayed. Early forums with MGM Assurance's existing mortgage brokers indicated that most were worried that regulation would increase workloads and ultimately decrease earnings. It was clear that mortgage firms were looking for support that would put in place all the necessary requirements to meet regulation but leave them to get on with business as usual. MGM ...

  • Regulation is a game of two halves

    19 Apr 2004

    The FSA has now published the latest statistics on firms that have applied for direct authorisation. These figures show the situation at the end of the discount period that ran up to March 31. So, what trends can we see, what does it mean for the future shape of the market and, for those yet to apply, what are the lessons to be learned? If this was a football match, we've just seen the end of the first half. The second half finishes at the end of April when the FSA's six-month ...

  • S&P launches policy to complement Ultima range

    22 Apr 2004

    Select & Protect has entered the bedroom rated home insurance market with the launch of its Median policy, designed to complement its Ultima range. Working closely with the firm's underwriter Norwich Union, the company says research shows that making home insurance an easier sell for advisers is an important priority. S&P says that a bedroom rated policy alongside its sum insured product will widen the choice for both advisers and their clients. Simon Hood, ...

  • Scottish Life restructures business

    20 Apr 2004

    Scottish Life Mortgages, which is part of Royal London Group, has completed a restructuring of the business designed to position it as a leading player in the mortgage packaging market. The restructuring, which involved SLM moving from Leeds to RLG's operating centre in Wilmslow, Cheshire in November last year, was part of a groupwide initiative to streamline the different parts of the business, pooling resources and improving efficiency and service levels. Benefiting ...

  • Sesame finalises panel members

    19 Apr 2004

    Sesame has confirmed that the final four lenders to join its Mortgage Select panel option are Bank of Ireland, Bristol & West, Northern Rock and UCB Home Loans. In its latest circular to members, seen by Mortgage Strategy, the network also outlines proc fees available from most of the panel members, billing these as the highest in the market. There are now 17 lenders on the panel intended to represent the whole of market, including Abbey and HBOS which were the first ...

  • Solicitors and valuers will be held to ransom

    19 Apr 2004

    From Danny Lovey The government's proposals on the house purchase process are supposed to improve matters and simplify the system. We are all aware that the current system is far from perfect but consider for a moment the potential ramifications of the government's proposals. The theory goes that a pack will be prepared that will include a surveyor's report and legal documentation, will cost the seller £500-£600 to prepare, and after that everything will ...

  • Spanish homes from Time in the Sun

    22 Apr 2004

    Buying a property in Spain will never be the same again following the launch of Time in the Sun - the UK's biggest, fee-free independent selection of Spanish homes available to buy over the internet. Boasting around 4,000 homes ranging from Euro100,000 to palatial properties at Euro3m plus, UK buyers will now be able to log on to track down a Spanish property - and know that the Time in the Sun team has weeded out any rogue estate agents or property developers. Nathan ...

  • Squirrel joins forces with Mortgage Assess/Financial Assess

    20 Apr 2004

    Squirrel Group has joined forces with Mortgage Assess/Financial Assess as part of its comprehensive training and competence proposition, the Birmingham-based company has announced. The system is available to Squirrel Group's appointed representatives and as part of its compliance services proposition for those mortgage advisers considering being directly authorised with the Financial Services Authority. Developed in partnership with the Chartered Insurance Institute ...

  • The Money Centre to hold property investment seminar

    19 Apr 2004

    Buy-to-let specialist The Money Centre has announced its first property investment seminar in association with Blue Property Group, the property management and property investment specialist. The event will give people the opportunity to benefit from free guidance from The Money Centre's experienced consultants, discuss financial strategies and refinance existing portfolios. Blue will be offering opportunities of property developments including investment in a diverse property ...

  • The Mortgage Mole

    19 Apr 2004

    Spirit Stark condemnation for Mole from the irrepressible John Malone last week. "I didn't touch a drop of absinthe while I was in Prague, you git," he fumed. "It was all Walter Avrili - nothing to do with me." Apparently, poor Walt needed rescuing from the depths of despond after realising that he might come a cropper with a bet laid on Chelsea finishing above Arsenal (like that's going to happen). "Walt was beside himself," Malone ...

  • The Woolwich and Barclays launch lifetime tracker mortgage

    22 Apr 2004

    The Woolwich and Barclays are launching a tracker mortgage on April 23 that allows borrowers to track the base rate at plus 0.04% for two years and then it reverts to a guaranteed lifetime tracker at 0.95% above base rate. Andy Gray, head of mortgages for The Woolwich and Barclays, says: "The new tracker mortgage has been launched for borrowers who want to get one of the best mortgage deals in the market. "With homeowners anticipating extra pressure on them over ...

  • There's a new auditor on the block - the network

    19 Apr 2004

    I have been watching the exchange between Richard Griffiths (in the red corner) and Neal Smith (in the blue corner) over the past few weeks with growing interest. Call me biased but I think Neal is right. Richard claims that his list was only meant to contain new mortgage networks. Excuse me but second one on the list is Burns-Anderson - I think he'll find that's been around for a few years now. I can't think of a word that will make anyone head for a dictionary ...

  • Time to think about your pensions

    19 Apr 2004

    Last week's column looked at the Financial Ombudsman Service and considered some points regarding the Mortgage Code Arbitration Scheme. This week I complete my look at MCAS and also consider the regulation of pensions. MCAS is administered by the Chartered Institute of Arbiters and its use is free to complainants but lenders and intermediaries covered by the scheme must pay a registration fee, an administration fee and a fee based on the time spent on each case by the arbiter. ...

  • TMB unveils its online system

    19 Apr 2004

    The Mortgage Business has unveiled its online case processing service for brokers and will relaunch its entire product range next month. The HBOS subsidiary says the online system has been designed to incorporate the firm's own flexible underwriting system, will be easy to use and will allow for faster mortgage decisions and quick offer turnarounds. Features include email updates to track cases in real time as well as product quotes and a flexible mortgage illustrator. The ...

  • TMP partners up with Nereus Infotek

    20 Apr 2004

    The Mortgage Partnership has joined hands with Nereus Infotek and its back office system D@shboard. The company says that having compared all the processing systems currently available in the market, it became evident that nothing matched D@shboard's blend of powerful technology and reliable customer support. Ian Ward, director of The Mortgage Partnership, says: "With the imminent changes to working practices in the mortgage industry TMP anticipates D@shboard being ...

  • Top 10 property hotspots all outside the South, says Halifax index

    19 Apr 2004

    The UK's top 10 property hotspots over the last year are all outside the South, the latest Halifax house price index reveals. Hartlepool has recorded the biggest rise in prices at 59%, followed by Darlington with an increase of 58%, Swansea at 55% and Blackburn at 51%. The North-East dominates the top 10 with Stockton-on-Tees and South Shields also amongst the 10 towns recording the highest price rises. The index also shows that the average house price in London is ...

  • UCB Home Loans hikes fixed rates

    19 Apr 2004

    UCB Home Loans is increasing some of its fixed mortgage interest rates to reflect recent movements in the money markets. The rates are available from April 16 2004. The self-cert two-year fixed rate has increased by 0.30% to 5.59%, 6.5% APR; the self-cert three-year fixed rate by 0.20% to 5.69% and the buy-to-let two-year fixed rate by 0.20% to 6.6%. Interest rates on the self-cert five-year fixed and the buy-to-let five-year fixed mortgages remain unchanged. UCB ...

  • We see no advantage in being swallowed up by the financial services

    19 Apr 2004

    Last week Mortgage Strategy ran a Vox Pop asking interested parties whether they thought Standard Life's proposal to demutualise would encourage building societies to follow suit. The majority of responses were in the affirmative so this week in the BSA poses the same question to its members, asking them for their views. As you can see, the association's members say they are committed to remaining mutual - both by name and by nature. Graeme Dalziel, chief executive, Dunfermline A

  • Will intermediaries be able to trust the KFIs produced by sourcing

    19 Apr 2004

    Whilst brokers are being tempted to get KFIs via lender websites, I'm sure most would rather retain their independence. Brokers are familiar with sourcing systems, using them to place mortgages or for comparisons. And if a client needs their mortgage re-broked it's quicker to key it into a sourcing system once rather than into two lender sites. Also to master the complexities of each website illustration facility will be slow and painful (though some such as BMS and Halifax have ...

  • xit2 appoints senior manager for Conveyancing Portal

    19 Apr 2004

    Outsourced process management firm xit2 has appointed David Ford as senior manager of theConveyancing Portal. The Conveyancing Portal is a fully automated and interfaced database acting as a conduit linking lenders and conveyancing solicitors. Data is distributed in real time, ensuring all parties in the process have synchronised information. Ford has worked for the Bank of Ireland Group for the past eight years holding a number of positions including product development ...

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