If you caught Wednesday’s edition of Land Cycle Investor, you’d be aware of the changing trends shaping the mortgage market to enable banks to keep lending.
The moves mirror patterns observed in the second half of previous cycles.
Notably, in the UK, banks are gearing up to offer no-deposit 100% mortgage loans.
A growing number of homebuyers are embracing ‘ultra-long’ mortgages, with terms extending beyond 35 years.
This shift has propelled the average asking price of UK properties popular with first-time buyers to a record high of more than £224,963 (as reported by Rightmove, a UK property portal).
Similar reforms to facilitate entry into the property market are also underway here. Several lenders have implemented policy modifications to support borrowers.
Non-bank lender Resimac, for instance, reduced its serviceability assessment buffer to 2% across all its products.
Kommentare