Mortgage products not around for long

Thursday, May 29, 2008

The average time a new mortgage product is available at the moment is 2 weeks. This is down from 30 days in 2007.

Some deals are disappearing in the space of 6 days especially when their are changes to the base rate.

Banks and building societies are having to constantly monitor their products due to the current uncertain market. Regardless of whether demand is increasing they are having to reduce the level of funds on offer.

This is due to demand on the processing departments of banks which obviously affects service, so rather than be swamped they withdraw the product.

It is also due to the constant changes in swap rates in the wholesale money markets, as in the case of Abbey, who reduced their rates last week but have now put them up 0.65%.

If you have any questions on remortgages please speak to Solution Mortgages on 0845 123 1260 or visit us at www.solution-mortgages.co.uk