These days, finding a secured lender is becoming more and more difficult. A future mortgage owned by Citi group was the first one to hit the dust right at the beginning of the credit crunch. This lender lacked strict lending policies and gladly accepted self-declarations of not only self-employed applicants but also from employed applicants, that too, with no backup proof. All that a self-employed person had to prove to them was that he was genuinely self-employed. Many such future mortgagors and similar companies fell to ground. Eversince, we have been experiencing low interest rates and Mortgage Rates. The Bank of England’s lending rate dropped to as low as 0.05% and hence was responsible for the low rates. However, Halifax Building Society has announced and increase in the tracker mortgage rate to 3.5%, whose recent rate on Friday was 2.99%.
Their two year fixed rate is now at 4.10%. We have been told the house prices have been on the rise since the past three months. People selling their properties are selling them for prices less than 2.2% on an average. Both the statements contradict each other. Yet, the good news for this season is that world is getting out of recession. Before you can rejoice about it, there is another sad news, which says the unemployment will still remain on a high.