You are here: Home - Specialist Mortgages - News -

Self-employed face mortgage difficulties

0
Written by:
22/04/2015
Self-employed and retired people are the most difficult people to find a mortgage for, a market survey has found.

The poll of mortgages brokers by specialist lender Paragon found three-quarters of advisers felt mortgages for the self-employed were the most difficult to find.

Retired customers also proved problematic with 52% of brokers finding it difficult to find suitable finance for these customers. More than half of advisers (51%) said customers who had complex sources of income were also increasingly difficult.

Almost a year on from the introduction of the Mortgage Market Review (MMR) rules, 43% of brokers said there had been no change to their business.

However, a quarter of respondents said they had seen lower levels of business, suggesting more customers are heading directly to banks and building societies.

A year on from the new regulations, some 15% of brokers said they were still unsure what its long-term impact would be on the market.

John Heron, director of Paragon Mortgages, said: “The research from the first quarter is really interesting. What it shows is there is still some uncertainty in the market about the long-term impact the MMR changes will have on business volumes.

This isn’t unexpected, as with any significant change in regulation there will always be a period of adjustment, but it is important the industry monitors this carefully.

“We need to recognise that there is no such thing as the average mortgage customer anymore, people have a greater variety of circumstances and we need to be more innovative in order to meet increasingly varied demand from customers.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Speak to an adviser

Could you benefit from impartial, free advice?

Your Mortgage Guides

Guide for First-Time Buyers

Download our handy guide for first-time buyers, brought to you in association with NatWest

Read More >

Is your mortgage fully protected with critical illness?

For a free quote or to speak with an insurance expert call 0800 1218744
Read previous post:
2259774-glasgow-george-square
Best month for Scottish house prices since ‘07

Scottish house prices rose at their fastest rate since the onset of the financial crisis, market data has shown.

Close