Mortgage experts warn that mortgage myths are leading house hunters in Essex to miss out on their dream home by failing to take advantage of the lowest base interest rates in more than a generation.
The Bank of England has held the base rate at 0.5 per cent since March 2009, and it has generated remarkable opportunities for customers in the mortgage market.
But financial advisors are increasingly concerned that house hunters are failing to make the most of a golden situation because many mistakenly believe that extra application checks introduced in April under the Mortgage Market Review (MMR) have locked them out.
Adam Champion, New Build Sales Director at New Homes Group – which advises customers of top five housebuilder Linden Homes – said rather than being a time to step back, now is actually the moment for house hunters to buy.
He said the situation had led to lenders bringing out impressive new products, with savvy customers with hard earned deposits or those using Help to Buy being able to now pick up three-year fixed rate mortgages at 2.99 per cent.
Adam said: “There are a number of deals to be had right now with a range of lenders coming to the fore including Skipton, Accord and Santander, all with compelling products to be had for first-time buyers right through to those buyers with larger deposits.
“Also, the changes from the MMR were intended to root out bad borrowing,” explained Adam. “However they have also had the effect of frightening off customers who are perfectly able to afford a mortgage. There are myths that the process is now horrendously complex – and that’s just not true. Lenders have quickly adapted and, in fact, responsible lenders like Halifax have had similar systems in place for up to 10 years, so there is little new here to be worried about.
“House hunters should be encouraged by the possibilities. The MMR changes are there to protect the customer and guide them to finding product that suits them best and gives them the most protection. There are some amazing deals out there – so don’t miss out.”
Linden Homes Roseanne Bullen, Regional Sales and Marketing Manager added: “It’s a real shame for house hunters in Essex if mortgage myths are getting in the way. We’re doing our best to dispel the misconceptions. As a builder of new homes we work with our financial partners to take buyers through the whole process, advise at every stage, and to get the best mortgage deal possible.
Linden Homes has a number of developments in the area including St John’s in Chelmsford and Northfields in Colchester. The St John’s development in Chelmsford will shortly be releasing some very unusual conversion apartments that have been built within the old Victorian red brick hospital buildings. For more details on the selection of houses and apartments available at St John’s, call the sales and marketing suite on 0844 488 1738.
Northfields is a collection of homes that have been carefully designed around a parkland area. The latest phase of new four bedroom homes is about to be launched and each of these homes overlook this attractively landscaped area of winding paths, trees, shrubs and grass. For more details of the new phase of homes available at Northfields, call the sales and marketing suite on 0844 417 3904.
For further information, contact Claire Cathersides or Emma Cox at Remarkable Group on 01962 893893.
All images are used for illustrative purposes only and are representative only. They may not be the same as the actual home you purchase and the specification may differ. Images may be of a slightly different model of home and may include optional upgrades and extras which involve additional cost. Individual features such as windows, brick, carpets, paint and other material colours may vary and also the specification of fittings may vary. Any furnishings and furniture are not included in any sale. Please check with our sales consultants for details of the exact specifications available at the development(s) for each type of home and the associated prices.