The global credit crunch has had a significant impact on the mortgage and secured loan market and these changes may impact you if you are looking for either of these products.

One of the after affects of this crunch is that house prices are decreasing. This will allow properties to be affordable  to first time buyers. However, on the other hand, this had lead to mortgage loan conditions having tightened up so much, that only a fortunate few, whom have made the largest deposits and have the most unblemished credit history, may be able to secure a loan.  It also means that the equity that you have in your house may be reduced.

This can have a knock on effect that a lot of people do not realise.  Through this climate the lenders are tightening their lending criteria and one of the elements is Loan To Value (LTV).  This is the amount you wish to borrow compared to the value of the house.  If the value of your house is falling then your LTV is being reduced and there may be the possibility that this LTV is then outside the lenders suitable criteria.  If you have no equity then it is unlikely that you will get the credit that you are looking for.

At the moment some of the Lenders are also now charging booking and arrangement fees so the products are becoming more expensive to the consumer.

Using the knowledge of a mortgage broker means that they can search the market and try and find the best deals for you.  They understand the lenders criteria and after looking at your personal circumstances know the lenders to apply to