Jump to content
House Price Crash Forum
Sign in to follow this  
Lou G

Northern Rock

Recommended Posts

I often click on the times website property section and check mortgage info to see what current rates are like. Suprised today that when checking under Self Cert mortgages only 3 were advertised with Northern Rock and you had to put down a 15% deposit. Usually there are alot more choices. Is this a sign that banks are starting to tighten their lending criteria.?

Lou...

Share this post


Link to post
Share on other sites

25% deposit..

Well if its self cert.. you don't have to declare the large loan that you took out for the deposit.

Worse case scenario of course...

But ouch..

Northern rock used to be the company giving out the most mortgages during the boom..

How many were seld cert...??

Share this post


Link to post
Share on other sites

They used to want 25% as a deposit.

So they're getting desperate then, having trouble roping in enough fools so they're having to make their lending criteria even more lax.

All signs of a healthy market!

Share this post


Link to post
Share on other sites

So they're getting desperate then, having trouble roping in enough fools so they're having to make their lending criteria even more lax.

All signs of a healthy market!

Exactly. With FTB's falling again it looks like the last lot of interest rate juice and mortgage innovation has already chewed itself up. Diminishing returns from here on in as the risk profile is rising, the cost of money will increase and the number of people able to pay the risk premium will be ever dwindling. When the price is wrong to make the business the price is wrong, plain and simple.

Edited by OnlyMe

Share this post


Link to post
Share on other sites

My brother was speaking to an IFA recently, who said that money should not be saved with NR, as they "are going under next year".

Anecdotal definitley.

Untrue, possibly, but interesting.

Maybe but nobody has told the markets yet:

http://www.lse.co.uk/SharePrice.asp?SharePrice=NRK

Edit:

Interesting quote from the 3rd Quarter Trading Statement from NR says what we are all thinking:

"Wider household indebtedness and the clear financial incentive for individuals to refinance will ensure a strong remortgage market continues - remortgaging has accounted for around 45% of all gross lending so far in 2005 and we expect this to continue.

The strength of the remortgage market, when added to the home moving market, means that our gross residential lending market forecast for 2005 has risen to around £270 billion. For 2006, we expect a similarly sized gross loan market, ensured by strong levels of remortgage activity."

Edited by Starcrossed

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 301 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.