Things Can Only Get Better For UK Borrowers

From the Times of London:

Mortgage experts are hoping that First Direct’s re-entry into the market signals an easing in the mortgage market and better times ahead for borrowers.

Now it charges 5.76 per cent, with a £499 booking fee and £1,499 arrangement fee. Borrowers can get a two-year fix of 5.75 per cent from Loughborough building society. Skipton building society offers 5.79 per cent fixed for two years up to 95 per cent loan to value with a £799 fee.

Halifax will cut the interest rates on some of its mortgage deals tomorrow. Last week, two of the UK‘s biggest mortgage lenders, the Abbey and the Nationwide, also made cuts to the interest rates on some of their home loans. Abbey followed suit by cutting its trackers by 0.05 points and its five-year fix by 0.17 points to 5.75 per cent.

First Direct withdrew from the mortgage market on April 1 after being deluged by new applicants desperate to lock into a competitive deal as rivals raised their mortgage rates or withdrew offers due to the credit crunch.

LONDON (Reuters) – First Direct, the online and telephone lender owned by HSBC, will resume offering mortgages to borrowers on Monday after withdrawing from the market six weeks ago due to rocketing demand. First Direct said it had cleared a backlog of mortgage application approvals that had forced it to suspend its offer to people without existing accounts at the bank on April 1. It said at that time demand had surged after rivals raised their mortgage rates or withdrew offers due to the credit crunch. Its 2-year fixed rate of 4.95 percent had been one of the best on offer to homeowners.

About Luke Ford

Raised a Seventh-Day Adventist at Avondale College in Australia, Luke Ford moved to California in 1977. He graduated from Placer High School in 1984, reported the news at KAHI/KHYL radio for three years, attended Sierra College and UCLA, was largely bedridden by Chronic Fatigue Syndrome for six years, and converted to Judaism in 1993. From 1997-2007, Luke made his living from blogging. Living by Beverly Hills (, he now teaches the Alexander Technique (moving the way the body likes to move). Lessons cost $100 each and last about 45 minutes. In 2011, Luke completed a three-year teaching course at the Alexander Training Institute of Los Angeles. His personal Alexander Technique website is Luke is the author of five books, including: » The Producers: Profiles in Frustration » Yesterday’s News Tomorrow: Inside American Jewish Journalism
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