In the recent buget, the chancellor announced his intention to encourage lenders to make 95% mortgages widely available again. 

The scheme will be available for new mortgages from April 2021 until 31/12 2022, for purchases up to £600,000. Under the scheme buyers will have the option to fix their interest rate for at least 5 years should they wish to. We see this as a positive step, but the Lenders have been slow to react initially. Watch this space for further updates on 95% mortgages. 

 

In the recent budget the chancellor announced an extension to the stamp duty nil rate band for residential purchases up to £500,000. This extension runs until 30/06/2021. 

From 1st July 2021 until the 30th September 2021 the nil rate band will reduce to £250,000. The nil rate band will return to the standard amount of £125,000 from 1st October 2021.

 

2020 saw the demand for later life mortgages continue to increase at pace. The new transparent and competitively priced products are proving popular with homeowners and purchasers alike who have attained or who are approaching retirement age. 

Mortgages are available from the age of 55 with no cap on age at application. Typically, clients have used these mortgages to pay off a traditional mortgage and remain in their residential property indefinitely. Alternatively, it is possible to release funds to gift to family or use for day to day living / holidays etc. 

Some products allow the debt to be treated as an interest only loan, or interest can simply be added to the loan and repaid upon sale of the property or death. 

Later life Mortgages can be used for Residential purchase, remortgage or to purchase holiday homes / buy to lets.

 

All mortgage applications are subject to Status and valuation. Your home may be repossessed if you do not keep up repayments on your mortgage. Newquay Mortgage and Pensions is authorised and regulated by the financial conduct authority under number 452685.