The End To Self Cert Mortgages?
The FSA will today announce new measures to end self cert mortgages and make getting a mortgage through a broker that much more difficult by requiring them to be more rigourous about their client providing details of how they will make payments and where the money will be coming from to stop borrowers lying about their earnings. 1 in 40 people current mortgage holders could be affected.
There are two sides to this story of course, is this a good time to introduce this legislation? With billions being spend on first time buyers shouldnt established mortgage holder get preference? While its good the FSA are getting tough on lenders and preventing people borrowing beyond their means, why are 90% or 100% mortgtages still on the market for people willing to pay the extra interest?
Are they targeting the right people? Surely on reliable mortgage products from people with a proven credit history and sizable deposit things should be made easier than more difficult!