UK Home Mortgage Lending Tight Especially for Pensioners
UK home mortgage loans are harder to come by these days, regardless of age. Recent data surfacing from the housing market displays a genuine lack of effort on the part of lenders to loan funds to those who are on the cusp of being a risk to lend to. Since the year 2006, mortgagers for pensioners for example, have fallen by more than 60%. This represents a massive imbalance in the rate older borrowers are being approved for loans compared with their younger counterparts.
Older mortgage borrowers are being left behind often, but younger borrowers are not faring quite as well as they should either in many instances. Lending to the 18 to 64 year old bracket has fallen 40% during the same period of 2006 to now, according to the Council of Mortgage Lenders.
Brian Murphy of the Mortgage Advice Bureau commented on the predicament many older applicants are finding themselves in, saying: "Lenders have pulled up the drawbridge on many responsible borrowers.”
Murphy added: "This demonstrates perfectly how older borrowers are being unfairly penalised."
The financial crisis has left scars which will never be visible, but are there right in front of many who are still trying to bounce back, which includes pensioners.
Younger borrowers are still making an effort to get past the strict new standards set forth in the post period of the crisis set by the Mortgage Market Review. These new standards are making it more than difficult for many who are struggling to find their way onto the first rung of the property ladder.