is this going to be a trend going forward over the next few months??
Barclays is the second lender in 48 hours to announce of steps to manage what has become a nightmare in processing an increase in the number of mortgage applications for both purchases and Buy to Let. Below is an extract of the notice given to brokers;-
“Barclays is withdrawing its core residential products at 75 per cent loan-to-value in a bid to manage demand,
On Monday the lender announced it was withdrawing one of its 85 per cent LTV deals for the same reason.
Brokers will have nine days until Friday October 9 to complete applications for the 75 per cent LTV products that are being withdrawn, so long as they have a successful case booking.”
After this deadline applications will be restricted to Remortgage applications.
Previously the State Bank of India who specialises in the Buy To Let sector announced on Monday that to deal effectively with new applications, only Remortgage cases would be the only category they would for the present accept, this coming on the back of increased rates.
Underwriters are invariably working remotely and are experiencing great difficulties in handling the volume of applications both new and those being processed much to the frustration of brokers and in turn clients. Callcentres are taking a long time to answer calls which is wasting more time from brokers, I spent over 90 minutes waiting to be connected to Barclays for an update which arose because of a system fault, not unusual as unless you hit the phones at 9:00 the delays of getting a response lengthens. No point in berating the operator they are only able to deal with one call at a time.
One hopes that the two lender examples are not emulated by other lenders because this would have a marked effect on sales and capital raising applications coming to a shuddering holt.
i will keep the forum updated as I get other important lender notifications.
Barclays is the second lender in 48 hours to announce of steps to manage what has become a nightmare in processing an increase in the number of mortgage applications for both purchases and Buy to Let. Below is an extract of the notice given to brokers;-
“Barclays is withdrawing its core residential products at 75 per cent loan-to-value in a bid to manage demand,
On Monday the lender announced it was withdrawing one of its 85 per cent LTV deals for the same reason.
Brokers will have nine days until Friday October 9 to complete applications for the 75 per cent LTV products that are being withdrawn, so long as they have a successful case booking.”
After this deadline applications will be restricted to Remortgage applications.
Previously the State Bank of India who specialises in the Buy To Let sector announced on Monday that to deal effectively with new applications, only Remortgage cases would be the only category they would for the present accept, this coming on the back of increased rates.
Underwriters are invariably working remotely and are experiencing great difficulties in handling the volume of applications both new and those being processed much to the frustration of brokers and in turn clients. Callcentres are taking a long time to answer calls which is wasting more time from brokers, I spent over 90 minutes waiting to be connected to Barclays for an update which arose because of a system fault, not unusual as unless you hit the phones at 9:00 the delays of getting a response lengthens. No point in berating the operator they are only able to deal with one call at a time.
One hopes that the two lender examples are not emulated by other lenders because this would have a marked effect on sales and capital raising applications coming to a shuddering holt.
i will keep the forum updated as I get other important lender notifications.
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