Fantastic news this week in that the Skipton Building Society have come back to the mortgage market with a new range of products. They are offering a range of 2 and 3 year fixed and tracker deals with competitive fees for both purchase and remortgage. They are also offering a couple of exclusive products at 90% loan to value which will bring some much needed competition to this end of the market.
The FSA has announced today in a consultation paper that they are going to stop lenders from offering ‘Self-Certification’ and ‘Fast Track’ mortgages to both employed and self-employed mortgage applicants. What does this mean, that going forward everyone will have to provide evidence of income from employer, bank, accountant or HMRC. As usual this is the FSA with their finger on the pulse of the mortgage industry. As any Mortgage Broker will tell you ‘Self Certification’ mortgages have not been available for the last 12 months, a classic example of the mortgage market regulating itself in spite of the regulator.
With the end of ‘Self Certification’ mortgages the question is now open to Accountants what stance will you take for clients? Help them pay as little tax as possible so lowering their Net Profit or pay more tax have a higher Net Profit and be able to afford that next house purchase or remortgage?
Andrew Fowler worked for Limetree Financial Services until December 2010. Feel free to contact another member of our team for help or advice.
Posted in Mortgages, News