The best mortgage deals are often found online. Although, current interest rates are low at the moment the best mortgage deals go to people with the cleanest credit history and largest deposits. As if this was not enough the current mortgage market now forces lenders to look more closely at affordability taking into account outgoings such as HP agreements, loans and other bills. The latest budget was recently announced with around 40% of the nations properties mortgaged, many waited eagerly for the results of the budget and welcomed the outcome. The recession has hit young families and couples hard and repaying mortgages has proved tricky for many, so now more than ever it is essential you find the best mortgage deal possible. One of the best ways to do this is to take some time doing your own research, get as many online mortgage quotes as possible and match them against your requirements.
The latest budget will offer further protection for people who have experienced significant loss of income. The Mortgage Relief Scheme was due to expire in 2010 but will now continue to 2017. This scheme was devised to enable people to defer interest payments on mortgage repayments for up to two years. Many people are still trying to recover from the recent recession many were left out of work or still are. Even though the country is officially out of recession lots of peoples financial situation is still the same. The extension of relief will hopefully take some pressure off many struggling families over the next few years.
All lenders will also face extending the current six month moratorium, pertaining to legal proceedings in the Code of Conduct, to 12 months to provide people in mortgage arrears more time to catch up. Back in early 2009 many lenders were criticised for being unsympathetic towards homeowners and beginning repossession proceedings too quickly, which led to the extension of the code.
Figures show only 20 homes have been repossessed by companies working under the Government Guarantee Scheme, but the threat of repossession is always apparent. The mortgage interest relief is a blessing for many young families and couples and the plans to extend it will be welcomed. It is vital when looking at current mortgage deals that the deal will still be a good one in the years to come as your circumstances may change.
Current mortgage deals which provide a low fixed rate for first time buyers are hard to find unless you have a large deposit. However there is some salvation. If you are a first time buyer and purchase a property under £250,000 you will be exempt from stamp duty.
All of these steps taken by the government are intended to help the country recover from the recent economic downturn. Whether or not these steps will have the desired affect remains to be seen and only time will tell.
Guest Article by Carlan Li
Related posts:
- Current Mortgage Deals
- Lloyds Allow Mortgage Overpayment
- FSA Mortgage Market Reforms
My name is Alan Potts and I'm the Editor of the BUYability web site and Managing Director of BUYability Limited. You can connect with me or keep up to date with new posts on this blog via the following social media sites: 
