Highest Rated Mortgage LendersMortgage lenders with the highest ratings
Mélanie Bien, head of the mortgage agent Privat Finance, agreed, claiming that some lenders select the best borrower. "Several lenders, often at the top of the best buying lists, seem to reject candidates on a regular basis. "Initial purchasers are most affected with a down payment of only 10 per cent or less.
Whilst there is now a tantalising array of agreements aimed at promising homeowners, few are getting the fingers up from hard-to-please lenders. In the meantime, Skipton Bausparkasse recently announced that it rejected three out of four candidates for its 95% loan-to-value business, which shows how difficult it can be to obtain credit.
It should be noted that high-street credit institutions are active in the credit sector and try not to reject requests. "Approximately eight out of ten clients who request a mortgage from the firm are accepted, and the expansion of our mortgage portfolio confirms this," says Martin van der Heijden, HSBC's Credit Manager.
But he says that, along with other majorstream highstreet lenders, the firm has focused on current clients rather than providing businesses that can attract new buyers. "The lenders have recognised that maintaining the current relationships with their clients is more important than just another sale," says Van Der Heijden.
If there are more corporate clients working with us, the better the pricing or interest rates we can provide them. "So if you are not already a client of one of the big banking houses, what are your odds of being chosen for one of the best offers instead of having to go through your noses to get your mortgage on?
Indeed, you will probably be better off not to apply for the best offers, but to spend your money finding a mortgage that you can buy and that you are likely to get, say professionals. The study released today by L&G Mortgage Club, a broking group, shows that there is a difference between borrowers' aspirations and what is actually available in the mortgage martin.
However, their life insurance deposits would give them only 17 per cent of the best purchase credits currently available. One in five would-be borrower with 5 percent or less for a contribution has an even worse position: they only have 2 percent of the total loan portfolio to select from.
"The majority of borrower will be dissapointed by the number of items available to them on the main street," stresses Ben Thompson. As you would think, Thompson recommends that you seek impartial mortgage broking advice on the most appropriate product. However, there are also things you can do for yourself to greatly increase the odds of getting admitted to one of the better offers.
"Borrower can help themselves by putting together as large a contribution as possible," Melanie Bien warns. "It' s actually a good thing to take out a debit before deciding on a mortgage. When you use it and disburse it every single months, it shows a creditor that you can be relied on to settle your invoices on schedule.
And, most importantly, it can help establish your loan histories and increase your mortgage adoption prospects.