Customers are classed as mortgage prisoners by the FCA if they took out a mortgage with a lender who is no longer accepting new applications or product transfers for parts of their mortgage book (closed book lenders) and they are now unable to remortgage to a cheaper new deal with another lender, as a result of policy and criteria changes across the market. New rules from the FCA will now allow lenders more flexibility to consider remortgage applications from these customers.
Customers who are classed as mortgage prisoners will receive a letter from their existing lender referring them to the Money Advice Service website which has further information and a basic eligibility tool.
The Stamp Duty holiday ends on 31st March 2021. Purchases need to complete on or before this date to benefit from the reduced rates.
Please be aware that due to lenders backlogs and the pressure on solicitors, the average time from putting in an offer to completion is approximately 16 weeks.
The Christmas and New Year period will also slow the process down, so please keep this in mind when budgeting for your fees and timescales.
The Chancellor has today announced a stamp duty holiday to start immediately and run until 31st March 2021. Under the changes, homebuyers will now pay no stamp duty on their main homes up to the £500,000 threshold.
The average stamp duty saving will be £4,500, with nine out of ten buyers this year now paying no stamp duty at all on purchases.
The changes do not include second homes.
With many mortgage lenders resuming physical valuations on properties in England, the property market seems to be breathing back into life. Coupled with the majority of housebuilders returning to building sites, there is renewed hope for whatever stage of property ownership you’re at.
As the property market returns gradually there may be delays from lenders and valuations as they look to catch up with any backlog. Given the changing environment at present, the best thing you can do if you have any questions is to contact us, and we’ll be able to take you through which options suit you best.
With 7.5m people being assisted by the government furlough scheme*, mortgage lenders have had to re-evaluate how they are assessing this form of income. Roughly 60% of lenders, including many high-street brands, will accept furloughed income where it can be evidenced. Another 30% of lenders will consider furloughed income on a case-by-case basis, and the remaining 10% will not accept any furloughed income on a mortgage application. With stances changing daily in the current climate, it’s best to contact our advisers to gain the most up to date information for your circumstances.
If you are a DIY investor one of the biggest concerns when managing your own Pension, ISA or investment is ending up with unbalanced portfolio. If your money is managed by a financial adviser, most will update the balance of your investments appropriately to your change in circumstances.
Why is this important during these challenging times? The coronavirus crisis has left many portfolios looking precariously unbalanced. Making the necessary changes yourself can be tricky, so many people will want to find a financial adviser to help them build a portfolio that is ready for the coming recovery.
Post-coronavirus, it is more important than ever to ensure you get expert help with your finances. Speaking to an expert independent financial adviser can give you more peace of mind.
At Warren & Co, we pride ourselves on the service we provide, and this still stands, even in the current situation. Our dedicated team and advisors are on hand to answer your questions, help with cases, advise on our products and much more.
Ensuring we’re abiding by the social distancing and self-isolation guidance from the Government, we have unfortunately closed our Gloucester office to walk in clients, however we have taken the necessary action to ensure that we can continue to offer our services and can assure you that we can continue to work as normal.
You can contact us on 01452 547783, email@example.com or send a message via Facebook and we will get back to you!
Follow the link below to hear advice from the Government for people buying or selling private residential homes
A number of lenders are offering support or payment holidays for those affected, so it’s important to stay in contact with your lender.
If you wish to talk through your options or concerns, please don’t hesitate to get in touch. Our advisors are happy to help and understand you may have a lot of questions during these uncertain times!
Do you have a remortgage or purchase going through with Nationwide or The Mortgage Works at the moment? Each day we will be posting updates from each lender that may apply to your mortgage..
– Nationwide and The Mortgage Works are arranging desktop valuations where possible, meaning a full property inspection is not necessary at this time
– Existing offers can be extended by 90 days to allow additional time for your completion to take place at a later date
Follow the link below to hear advice from the Government for people buying or selling private residential homes:
Buying a home can be a stressful and confusing time. This step-by-step guide is designed to support and
inform you throughout your mortgage application through to completion:
1. Consultation with adviser – We will assess your requirements and find the right mortgage for you.
2. Protection – An essential not an extra, to ensure you are covered in the event of death, critical illness, or loss of income.
3. Decision in principle – Basic personal details will be submitted to the lender to see if you meet their terms. A Key Facts Illustration will be provided detailing everything you need to know.
4. Credit searches / application – The mortgage application can now be submitted and searches completed.
5. Document verification – The lender will assess your documentation submitted on application, this is usually payslips and bank statements. They may require further documents or further information to support your application.
5. Valuation – The lender will check the value of the property. You should also consider appointing your own surveyor
for a more in-depth survey of the property.
6. Offer – Once the valuation has been approved the lender will produce an offer.
7. Legal work – The solicitor will then complete the pre-exchange of contracts including deciding on a completion
8. Exchange of contracts – You are now legally committed to purchase the property.
9. Payment – Deposit is paid and the solicitor will finalise all mortgage arrangements. This is preceded by the payment
of land registry fees and stamp duty.
10. Completion – Funds are transferred and the purchase is completed. It’s now time to pick up the keys!