Andrew Montlake, MD of Coreco mortgage brokers observes that other sorts of products may be withdrawn in the not too distant future, and suggests: “We will see some more changes in the days ahead; less availability of 90 percent and 95 percent Loan to Value mortgages, rate increases and specialist lenders pausing all lending as this crises develops.
“The message to all borrowers is to take professional advice as soon as possible to understand all of the available options.”
Mr Karasavvas, Managing Director of Prolific Mortgage Finance also indicates that choice for new borrowers may be reduced for a while, and suggests: “Following the second cut of the Base Rate and the withdrawal of tracker products from Nationwide’s product range, I would see the availability of no penalty trackers disappearing from most lenders portfolio over the coming weeks if not days.
“Those that will remain, will no doubt do so with a mark-up on the margins, as lenders simply cannot continue to lend on Pre Covid-19 margins where the Base was set much higher.”
But where does all of this leave those who want to apply for a remortgage, or even a mortgage to fund the purchase of their next property if they are moving home in the coming weeks and months?