Homeowners in trouble can no longer remortgage
The Council of Mortgage Lenders has issued figure that show that mortgage approvals are down by 71%.
The implications for those with financial difficulties who are trying to remortgage are severe. In the past with property values rising, it has been relatively easy, even for those with poor credit, to find lender willing to remortgage. The lenders were charging high interest rates but solved immediate cash and debt problems for millions of UK home owners.
Now these lenders are no longer offering remortgages, house prices are crashing and lenders want you to have at least 20-25% equity in your home. Even then if you have poor credit then you can forget a remortgage in the current climate.
