Mortgage Strategy
25 March 2002

  • A saving plan for all seasons

    25 Mar 2002

    As the end of the tax year draws near, the 'ISA season' is now well underway. Firms and advisers are turning on their marketing charms to tempt the thousands of consumers keen to use up their tax-free ISA allowance. This time of year is also busy for regulators, as new products are launched and some advertisers are tempted to explore the boundaries of the rules in their quest to maximise their share of the market. Whichever way you look at them, ISA guides inspire strong opinions. ...

  • A&L restrict products

    25 Mar 2002

    Alliance & Leicester has again defended its decision to restrict access on headline discount products to intermediaries. The two affected deals are only available through A&L's direct channels, including Mortgages Direct, the internet, the phone and through branches. John Stewart, director of Basildon-based PMI Independent Financial Adviser, says: "If lenders want business via intermediaries then they must not have dual pricing in favour of direct business. It is totally ...

  • Abbey cuts cost of personal loans

    29 Mar 2002

    Abbey National is offering its lowest ever rates on personal loans between £5,000 and £9,950, with a typical APR of 8.8%. The Abbey also reports that customers are increasingly using the web to find cheaper personal loans, with internet applications up more than 100% on this time last year. For applications via the internet, an Abbey loan of £10,000 over five years at the typical APR is down by £200 over the term, giving monthly repayments of £179. New ...

  • Abbey National moves into DIY

    26 Mar 2002

    Abbey National has announced a partnership with Homebase, in the form of in-store financial advise for customers of the DIY outlet on the Edge Lane Retail Park in Liverpool. Abbey's pilot Homebase branch opens on 29 March 2002 and, if successful, will be rolled out to Homebase stores around the UK. The branch will have financial advisers on hand to provide face-to-face advice, plus internet demonstration areas and a self-service fast banking area. Andrew Pople, managing director ...

  • Advances increase as borrowers gear up for Easter DIY

    28 Mar 2002

    UCB Home Loans has announced a rise of around a third in numbers of further advances taken since the beginning of the year, confirming that preparations for the Easter home improvements rush are well underway. Overall, UCB Home Loans has found the number of further advances has increased by more than a quarter over the last year, with around three-quarters of all advances now being taken for home improvements. Rising house prices have provided many homeowners with increased ...

  • B&W add meat to prime range

    25 Mar 2002

    Bristol & West has consolidated its prime-market offering to intermediaries. The West Country lender is offering higher income multiples and a higher LTV remortgage deal to borrowers with clean credit histories. First-time buyers and clients hoping to move into property hotspots will benefit from revised income multiples, with those earning a minimum of £20,000 allowed to borrow up to 4 x income plus one. Previously clients could borrow 3.5 x income plus one or 2.75 x ...

  • Brave NewWorld on cards for West Bromwich

    25 Mar 2002

    West Bromwich has bought buy-to-let lender NewWorld for an undisclosed sum. The building society will use the NewWorld brand name to develop its subsidiary, the West Bromwich Mortgage Company (WBMC), as a lending arm for intermediary introduced business. The existing NewWorld portfolio is heavily biased towards flexible and buy-to-let mortgages. West Brom will expand this proposition to a full range of residential mortgages, possibly to include specialist products. WBMC has ...

  • Capital helps homebuyers make the most of builder's deposit

    26 Mar 2002

    Capital Home Loans has decided to allow the use of builder's deposits on buy-to-let loans. House builders often offer deposits of 5% towards mortgage down-payments as part of their incentive package for new house sales. Capital's move means that instead of having to pay a 20% deposit on a buy-to-let purchase, borrowers can use the widespread 5% builder's deposit to reduce their own outlay to 15%. The facility also applies to the Hampshire-based lender's ...

  • CEBR preducts summer lull after bumper Easter

    29 Mar 2002

    British households are likely to tighten their belts after a bumper Easter, according to the latest economic forecasts from the Centre for Economics and Business Research. The CEBR expects real growth in consumer expenditure to fall from 4.1% in the last quarter of 2001 to 1.4% in the fourth quarter of this year, as rising interest rates push up the cost of borrowing and mortgages. Average earnings growth will be much lower this year, partly because firms have taken an axe to ...

  • CETA aims to fill endowment life policy gap

    25 Mar 2002

    CETA has entered the non-regulated insurance market to cash in on the growing demand for term assurance following the collapse of the endowment market. Many new repayment mortgages are not supported by a life policy. If the borrower dies within the mortgage term their partners could be left to repay the outstanding debt with little means to do so. CETA says that this gap is developing because lenders do not always require evidence that a loan is supported by a life policy and borrowers ...

  • CML brings out new You and Your Mortgage

    27 Mar 2002

    The CML has launched a new version of its consumer leaflet 'You and Your Mortgage' to summarise key points of the Mortgage Code and make mortgage clients aware of improved borrowing safeguards. The revamped leaflet includes commitments that lenders will follow the CML's policy on mortgage shortfall debts and will ensure that their staff are properly trained, qualified, experienced and supervised. The CML has distributed 9.5 million copies of the Mortgage Code ...

  • Credit repair cons test new Bill

    29 Mar 2002

    Government measures to give consumers better protection against rogue traders will not put an end to the 'credit repair' scams used by desperate borrowers, according to the National Association of Citizens Advice Bureaux. NACAB claims that loopholes in the Enterprise Bill mean that sharp operators will still be able to con consumers out of a fee with the promise to repair their credit rating - even though people can do this themselves at a fraction of the cost. NACAB ...

  • Days to qualification: 289

    25 Mar 2002

    Q. My client has an interest-only mortgage for £68,000, repayable over 25 years. He has a unit-linked endowment policy in place as the repayment vehicle. What can I tell him regarding the guaranteed maturity value of the endowment policy? A. There is no guarantee regarding the amount of the maturity value. Unit-linked endowment policies are, like with-profits endowments, regulated long-term investment products. A unit-linked endowment policy will, however, have a guaranteed death ...

  • Days to regulation: 696

    25 Mar 2002

    Q. With the FSA set to regulate mortgage advice, what is the future of credit repair lending? A. Ten years ago, lending money to borrowers with a poor credit record was frightening to most high-street lenders. If people had experienced problems before, they were much more likely to slip into debt again. How things have changed. Since the mid-1990s, specialist lenders such as Kensington, Platform and igroup have established themselves within the market, with some outstanding successes. ...

  • Early retirement warning from Norwich Union

    27 Mar 2002

    Research from Norwich Union reveals that 60% of stakeholder pension customers plan to retire at age 60 or earlier. However, too many stakeholder customers are paying insufficient contributions into their plan to ensure that they have a comfortable amount to retire on at their desired retirement age. For example, 77% of stakeholder customers between the age of 31 and 45 are paying less than £150 a month into their plan. This could have stark consequences ...

  • Employees pat Nationwide on the back

    28 Mar 2002

    Nationwide has been selected as one of The Sunday Times 100 Best Companies to Work For' in a survey published this weekend, coming in 23rd - an improvement on last year's rating of 30. The annual survey is compiled from independent research from Great Place to Work UK, which assesses outstanding companies by what the employees think rather than by balance sheet or market performance measures. These companies are described as places where "you trust the people you work for, ...

  • ERA extends estate agent franchise to UK market

    28 Mar 2002

    Global estate agency ERA is setting up a UK operation and is currently recruiting UK financial advisers, mortgage brokers, solicitors, accountants and general insurance brokers seeking to become directly involved in estate agency ownership. ERA has nearly 3,000 offices in 26 countries, including14 in Europe. In the UK, it has the backing of the Rotch Group, the largest privately owned property group in Britain. In the Netherlands, 10% of all estate agents have joined ERA and it ...

  • Exam results are 'disastrously low'

    25 Mar 2002

    Introducers preparing for CeMAP are struggling with sections on property law, assessment, status and security. Exclusive research by Network Data for Mortgage Strategy shows significantly lower marks in these areas. Marks were generally high for more familiar subjects, such as repayment methods, pricing, arrears and post-completion matters. Julie French, head of training at Network Data, says: "While Section A is quite involved and covers areas that normally involve solicitors, ...

  • Fixed rates increase at Nationwide

    29 Mar 2002

    Nationwide has increased the prices of three fixed price mortgages to reflect recent rises on the money markets. Rates on the two, three and five-year fixed products increase by 0.2% to offer products from 5.29%, 5.59% and 5.74% respectively. All new mortgages meet the Government's CAT standards for open, fair and transparent mortgages. A range of flexible features is vailable on all new mortgages, which are available to new and existing borrowers. Nationwide ...

  • Flagship takes correspondent status at Platform

    27 Mar 2002

    Flagship Homeloans, in association with Solent Mortgage Services, has gained correspondent lender status with Platform Home Loans. Flagship will offer a full range of mortgage products for non-conforming borrowers through mortgage intermediaries. The Hampshire-based lender has recently extended its product range to include a bigger discount and cashback. All products in Flagship's non-conforming range will be eligible for a 1.6% discount until 1 June 2003, ...

  • FSA Director to focus on Mortgage and General Insurance Regulation

    25 Mar 2002

    The Financial Services Authority is to create a new High Street Firms Division responsible for delivering the FSA's new regulatory remit in respect of the mortgage and general insurance sectors. FSA Managing Director John Tiner says: "Introduction of mortgage and general insurance regulation involves the creation of two new regulatory regimes and the new division will have a pivotal role in delivering this. "The challenge for the FSA is to provide an appropriate level ...

  • FSA PUBLISH GUIDE FOR MORTGAGE INTERMEDIARIES

    27 Mar 2002

    The Financial Services Authority today published 'Mortgage and general insurance regulation: A guide for firms.' The eight page document is aimed at brokers that will be subject to FSA regulation in 2004. It explains the consultation process, sets out the proposed timetable for implementing the new regulatory regimes, and addresses some commonly asked questions. Sarah Wilson, director of FSA High Street Firms, says: "Regulation of the mortgage and general ...

  • High Street Home Loans signs up packager partners

    26 Mar 2002

    All-status lender High Street Home Loans has signed up 28 packager partners since launching a campaign to increase the size of its distribution base. The company is confident it will hit its initial target of recruiting 40 companies within the next two weeks as negotiations are currently underway with several other organisations. According to Gary Forrest, joint managing director of High Street Home Loans, the 28 companies that have so far signed up were attracted to the lender's ...

  • HLP plans for £200m mark in first year

    25 Mar 2002

    Home Loan Partnership is on track to write over £200m of first charge business in its first year of trading. The network started writing business on 1 October 2001 and figures released by HLP to Mortgage Strategy reveal that its growing army of brokers is completing up to 800 cases every month with the network's panel of 27 lenders. Intermediaries have been writing over £3m of new business every week. Steve Hoare, HLP's managing director, is confident that this figure ...

  • HLP still on target for £200 million of first charge loans

    25 Mar 2002

    The Home Loan Partnership (HLP) has claimed it is on track to write over £200 million of first charge business in the dedicated mortgage network's first year of trading. Figures released by HLP reveal that its growing army of brokers are completing up to 800 cases every month with the network's panel of 27 lenders. Currently intermediaries are writing over £3m of new business every week. Steve Hoare, HLP's managing director, is confident that this ...

  • House boom sends Barratt profits up

    29 Mar 2002

    Housebuilder Barratt Developments has credited the booming house market for a surge in half-year profits and a jump in the number of homes sold. Newcastle-based Barratt, whose houses cost from £60,000 to £3 million, said that all its regional markets had been buoyant during the second half of 2001. The demand for home ownership was underpinned by high employment, steady earnings growth, increasing disposable income, low interest rates and a competitive mortgage ...

  • House prices get higher and higher

    29 Mar 2002

    Hometrack's monthly survey of London properties for March suggests that far from subduing demand, strong price rises so far this year have encouraged it to grow even more. The survey reveals that house prices rose by 1.8% this month, hot on the heels of last month's rise of 1.7%. The latest result takes price rises so far this year to nearly 4% - in line with London house prices that are presently rising at an annual rate of in excess of 20%. John Wriglesworth, ...

  • How polystyrene 'Lego' makes for greener homes

    27 Mar 2002

    Norwich & Peterborough Building Society is aiming to encourage the building of more energy efficient homes. It became the first lender to launch a 'green' mortgage on the high street in 2000 and now estimates the market for having a home built to individual specifications at around 20,000 a year and growing. Beco Wallform - large polystyrene blocks which interlock like Lego and are filled with concrete - and Scandinavian timber frame are two of the building materials ...

  • Increasing demand for debt consolidation

    26 Mar 2002

    The number of borrowers requiring debt consolidation is increasing, according to a survey of 300 brokers carried out by the Bank of Ireland Mortgages. The debt consolidation market is allegedly worth £50bn, and 62% of brokers reported an rise in the demand for debt consolidation services. 23% said they had seen no change and only 15% said their debt consolidation cases were decreasing. The amount of debt consolidation that brokers are carrying out was also a significantly ...

  • Jennings defends Namba's chances

    25 Mar 2002

    Julian Jennings, founder of Namba, has hit back at claims that his organisation "doesn't stand a chance" of becoming a recognised and respected trade body for mortgage brokers. Responding to anti-Namba views aired at last week's inaugural meeting of the mortgage intermediary advisory group, Jennings said the allegation that Namba's commercial interests weakened its credibility was an "observation without knowledge". Jennings told Mortgage Strategy: "Regarding the commercialism, ...

  • Last chance saloon for cowboy builders

    28 Mar 2002

    Borrowers putting off home improvements for the fear of cowboy builders no longer have to worry, thanks to a government-backed Quality Mark register of independently assessed builders and tradesmen. The scheme is to be rolled out across the country following successful pilots in Birmingham and Somerset. The register is designed to eliminate cowboy builders and give homeowners some quality assurance when it comes to employing a tradesman in their home. The ...

  • Lender Response

    25 Mar 2002

    George is one of the buy-to-let market's more experienced investors. With a loan portfolio close to £1m, George is also one of the larger investors. I am surprised George hasn't looked at the financing of his loans earlier. He has a superb opportunity to improve the financing of his portfolio and to take advantage of today's competitive buy-to-let deals. The savings to be made by remortgaging can make a significant contribution towards the costs of maintaining and building ...

  • Lender response

    25 Mar 2002

    George has a considerable portfolio of buy-to-let properties and has correctly deduced that there are significant savings to be made by remortgaging to an alternative lender. As it is such a sizeable portfolio he could opt to split it across more than one lender, selecting a variety of fixed, discount and tracker schemes and thus giving him a spread of payable rates. This approach would also afford him some protection if rates rise and some benefit should rates fall. Either way, he should ...

  • LIA and AIFA consider trade body role

    25 Mar 2002

    The Life Insurance Association and Association of Independent Financial Advisers are being mooted as possible contenders to develop a trade association for mortgage intermediaries. Their possible role in launching and managing a trade body was brainstormed by the newly formed mortgage intermediary advisory group at the Council of Mortgage Lenders last week. Nick Baxter, director of Mortgage Promotions and a member of the intermediary advisory group, says: "A trade body has to have ...

  • Long-term reward for loyal customers

    25 Mar 2002

    Standard Life Bank has re-priced its Capital Reward mortgage with a new SVR of just 5%. The Capital Reward product pays a bonus of 1% of a customer's outstanding capital every two years for the full term of the mortgage. As a result, the product automatically reduces the capital over the length of the mortgage and in doing so reduces the total interest paid. The new SVR means that the product has the same rate as Standard Life Bank's Freestyle flexible mortgage. David ...

  • MCCB launches new website

    25 Mar 2002

    The Mortgage Code Compliance Board has launched a new website in response to the increased demand it is facing from web-wise mortgage professionals. Visitors to the existing Mortgage Board website now generate over 400,000 hits per month. Available at www.mortgagecode.org.uk - the new website contains three specifically tailored sections for mortgage professionals, consumers and the media, thus reducing the need to spend time searching the site for much-needed relevant ...

  • MIFAS goes on tour

    26 Mar 2002

    Misys IFA Services (MIFAS), the largest supplier of services to independent financial advisers in the UK, will embark on its second series of roadshows in May. Over 4,000 advisers are expected to attend the full day business development seminars at 20 venues across the UK stretching from Carnoustie in Scotland, to Exeter. The event is free for all members of the MIFAS network. MIFAS is working alongside Royal & SunAlliance, Scottish Widows, Prudential, ZIFA and Intelligent ...

  • Mortgages PLC fixes product range

    29 Mar 2002

    Mortgages plc has fixed rates at 5.45% across its entire product range with the exception of right-to-buy, a first for the non-conforming sector. The new fixed rate is available up to 90% LTV and is fixed to 31 March 2003. Mortgage plc chief executive Trevor Pothecary says: "At a time when other lenders are reviewing their rates upwards, Mortgages plc is offering a market leading rate to borrowers in the non conforming sector. "There is an acceptance in the ...

  • MP warns of selling 'disaster'

    25 Mar 2002

    Howard Flight MP, the shadow paymaster general, says mortgage sales are a "disaster waiting to happen". He claims too many overstretched borrowers are lured by cheap discounts when they could be advised to lock into low interest rates while they can. This, he believes, will lead to "howls of woe" and accusations of mis-selling if interest rates rise as anticipated later this year. Flight also fears that proposed changes to the polarisation regime will ultimately turn mortgage advisers ...

  • My mortgage week - Luke March

    25 Mar 2002

    Monday: Return by train to London, where I live in my Barbican flat during the week, after a relaxing family weekend at home near Salisbury. The batteries recharged by country air, long walks and a trip to Larkhill point-to-point. At any race meeting I will invariably pick the faller at the first and the second in a two-horse race so, as usual, I go home without a single winner. I spend the morning on paperwork and emails, including reviewing the Treasury consultation paper and RAO, which ...

  • Namba canvasses broker opinion

    25 Mar 2002

    The National Association of Mortgage Brokers and Advisers (Namba) has announced it will be setting up a development group to canvass brokers and seek national support for the organisation as a trade body. A Namba steering committee was recently formed to discuss how the organisation should be strategically positioned in the market, and decided that the creation of the development group is the next step. Namba has issued an open invitation, asking brokers and intermediaries to ...

  • Nationwide renews agreement with the Football Association

    28 Mar 2002

    Nationwide has renewed its sponsorship agreement with the Football Association. The building society becomes the latest organisation to join the new FA Partners commercial programme and will be the exclusive sponsor of women's football. As well as continuing its association with the England team as joint sponsor, the new deal also includes joint sponsorship of the FA Cup. FA chief executive Adam Crozier says: "The FA is delighted to announce the continuation of Nationwide ...

  • New centre opens to ease BMS backlog

    25 Mar 2002

    Birmingham Midshires Solutions will open a second intermediary processing centre next week to ease capacity problems at its existing centre in Cardiff. Some 80 staff will be employed to process business from Legal & General and Misys mortgage clubs at the new centre in Penderford, Wolverhampton. Michael Bolton, head of mortgage marketing, says: "We acknowledge that our service is not good enough and we have put too much business through our Cardiff plant from a capacity point ...

  • New equity release from Legal & General

    27 Mar 2002

    Legal & General Bank has launched an equity release mortgage that safeguard customers against negative equity, eviction and repossession. The Equity Release mortgage guarantees customers will be able to live in their properties for the rest of their lives or until they permanently leave their homes, for example, to go into long-term care. Interest is fixed at 7.3% for the life of the mortgage. No monthly payments are due, but interest is compounded monthly and ...

  • New housing report predicts 'stabilisation' of property prices

    25 Mar 2002

    A new report from the Centre for Economics and Business Research has found that fears over overstretched mortgage borrowers and an imminent crash in the housing market are overblown. The CEBR analysed the financial situation affecting the housing market as part of the research for the Housing Futures 2012 Report, to be issued on 24 April. It estimates that at the end of the first quarter 2002, UK homeowners will own property with a total value of over £2.1 trillion. ...

  • New non-executive director at Nationwide

    29 Mar 2002

    Ruth Evans, former chief executive of the National Consumer Council, has been appointed to the Nationwide board as a non-executive director. Evans was recruited ahead of the impending retirement of another non-executive director David English, who steps down at this year's AGM, after nine years service. In choosing his replacement, the building society says it has deliberately "sought an individual whose particular experience would make them better able to understand ...

  • Offset route opens to SMEs

    26 Mar 2002

    The Bank of Scotland has today launched the UK's first offset mortgage for small businesses. Borrowers will effectively pay base rate interest, currently 4%, on the business current account to offset the interest costs of the commercial mortgage. The Business MortgageSaver effectively pays base rate interest - currently 4% - on the business current account to offset the interest costs of a commercial mortgage. The mortgage is flexible and offers daily interest. The ...

  • Paragon launches largest ever securitisation transaction

    25 Mar 2002

    Paragon Mortgages last week announced the launch of a £500 million securitisation transaction, as part of its buy-to-let mortgage securitisation programme. The deal is Paragon's largest securitisation to date. The present transaction reflects the buoyant state of the buy-to-let market and the success of Paragon in writing new business. Last year new mortgage advances grew by 56% to £382 million. A specialist lender concentrating on ...

  • Preferred extends discount product range

    27 Mar 2002

    Preferred Mortgages' has extended its 1.25% discount offer for a further two months until 31 May 2003. The range was launched earlier this year and contains rates that reward non-conforming borrowers for lower loan-to-values and cleaner credit records. Simon Biddle, marketing communications manager at Preferred, says: "Detailed analysis and feedback from the market has already proved to us that this new range is very attractive to intermediaries and we are sure they welcome ...

  • Rates to fall to 1% if England win World Cup

    25 Mar 2002

    Borrowers prepared to link their fortunes to those of England in the world cup this summer could see their mortgage rate decrease to as low as 1%. Rates are the lowest they have been for 40 years and it's almost as long since England won the World Cup in 1966 but today Chase De Vere Mortgage Management launches the exceptional World Cup Mortgage - a mortgage that gets cheaper as England progress through this summer's finals. The mortgage starts with a class-leading ...

  • RICS urges a fresh look on derelict housing

    29 Mar 2002

    House prices in deprived inne- city areas where demand has all but collapsed could be repaired with the addition of green space, according to the Royal Institute of Chartered Surveyors. In reaction to a House of Commons report on empty homes, RICS director of policy Michael Chambers says: "The usual response to the sight of row upon row of worn out and abandoned homes is to try to revive them with injections of cash. But this often fails. But the authorities should make a hardheaded ...

  • Rise in loan approvals

    29 Mar 2002

    The British Bankers Association has released the breakdown of last week's MBBG lending figures, which recorded a £3.9bn rise in mortgage lending for February to £387.8bn and a record rise in unsecured lending of £1.1bn to £80.9bn. Gross mortgage lending totalled £9.2bn in February - 53% higher than in February 2001. This was 2% less than in January, though there was a similar drop at the same time last year. Nearly 184,200 loans were approved for ...

  • SBF expands its sales team

    25 Mar 2002

    Skipton Business Finance Limited (SBF), the wholly owned subsidiary of Skipton Building Society, has announced the appointment of a sales team of regional managers. Launched in October 2001, SBF has is adding new staff to its recently developed sales force. The new five-strong team will be responsible for meeting the increasing demands of small and medium sized companies for factoring and invoice discounting services in the north and Midlands. Leah-Ann Richardson ...

  • Seminar plan to push APS Europe mortgage club

    25 Mar 2002

    Newly established 'direct-submission mortgage club' APS Europe plans to increase its profile among introducers and IFAs with a series of seminars. APS will invite 200 current members and other introducers and IFAs who have shown an interest in Trigold in the last year. Provisional dates of 24 and 25 April have been set for seminars in Manchester and Coventry respectively. Managing director Michael Goldman told Mortgage Strategy: "We are inviting those who are currently members ...

  • Strength in numbers as storm clouds gather

    25 Mar 2002

    In just 289 days, intermediaries who want to offer full mortgage advice and recommendation to their clients will need to have achieved passes in either CeMAP papers 1, 2 and 3 or MAQ. The message from the Mortgage Code Compliance Board is simple. If you want to maintain your mandate to offer mortgage advice then you must ensure that you become a qualified adviser. The pressure for mortgage intermediaries across the UK is mounting. Not only is the 31 December training deadline ...

  • Support service launched

    25 Mar 2002

    A new support service for the IFA market will be launched next month to take the hard work out of mortgage placement, while still allowing brokers to enjoy the profits of cross sales. Provider mortgage.com designed the new venture with the consultancy services of ex-Sun Bank managing director Mark Sismey-Durrant, after discovering nearly one-third of IFAs are considering withdrawal from the mortgage market. Mortgage.com managing director Stuart Wilson says: "A lot of IFAs are sitting ...

  • The Exchange wins Thomson's contract

    29 Mar 2002

    Technology services supplier The Exchange has won an administration contract with the Thomson's Group, one of the largest IFAs in the UK. The Exchange will supply, customise and install Thomson's backoffice administration system. The Officeweb system will harmonise operations throughout the Thomson's Group enabling it to enhance customer service levels and develop new business more efficiently. The new system will give Thomson's 220 advisers and support staff ...

  • This week's problem case:

    25 Mar 2002

    Over the last 10 years, George has bought several properties for renting out. All of his £800,000 buy-to-let loans are with his high-street bank. The interest rate on the portfolio is 2.75% over Bank base rate. George is not sure how competitive his loans are and he has read in the financial press that the 'new breed' of buy-to-let lenders typically charge less. Is this true?

  • UK buyers head for the sun

    26 Mar 2002

    The Cote d'Azur is the most popular region for Brits seeking a home from home, according to Abbey National France. The average purchase price of Cote d'Azur properties bought by UK clients is now £30,000 - making it France's most expensive region for second homes. Despite the high prices, the wholly owned subsidiary of Abbey National reports that owning a home abroad is not just for the seriously wealthy. Demand from across the UK has fuelled a 66% increase of home ...

  • We all stand together

    25 Mar 2002

    Pressure is mounting for mortgage intermediaries. The Financial Services Authority is on the brink of regulating mortgage advice at the point-of-sale. All intermediaries will require CeMAP or MAQ qualifications by the end of this year to maintain their mandate to offer mortgage advice. The sharp increase in the cost of compliance and ongoing training may see smaller intermediaries forced out of business. Shocking headlines, but a familiar story. The late 1980s experienced a similar ...

  • West Bromwich takes on New World

    25 Mar 2002

    West Bromwich building society has agreed to acquire a residential mortgage portfolio from NewWorld - the UK lending division of Commonwealth Bank of Australia. The West Bromwich Building Society today announced that it has agreed to acquire a residential mortgage portfolio from NewWorld - the UK lending division of Commonwealth Bank of Australia. West Bromwich will acquire the rights to use the New World brand, which has been synonymous with the introduction and ...

  • Yorkshire prepares to cross new borders

    25 Mar 2002

    Yorkshire Building Society is to launch a separately branded subsidiary dedicated to intermediary business, Mortgage Strategy can exclusively reveal. The proposal was signed off at board level last week, although it is still to be decided whether the subsidiary will be acquired or built from scratch. The new subsidiary is likely to be modelled on similar lines to Verso, whose intermediary-only strategy has bought parent Britannia success in the self-cert and buy-to-let markets. Although ...

  • You get a lot of help if the force is with you

    25 Mar 2002

    Q: What is mortgageforce? A: Mortgageforce is the UK's first dedicated mortgage-broking franchise that aggregates small mortgage-broking firms and individual mortgage advisers and is truly national. The consumer-facing proposition is a traditional, independent mortgage brokerage that provides advice and a recommendation based upon clients' circumstances. Our business-to-business offering is unique to the UK as it offers mortgage advisers the chance to 'own' their chunk ...

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