Lenders expect to increase the number of higher LTV mortgages

Lenders expect an increase in mortgage availability to borrowers with smaller deposits over the coming months, according to the Bank of England's (BoE) latest credit conditions survey. The BoE's survey says: “The availability of secured credit was expected to increase significantly further in 2013 Q1, again driven by market share objectives and a slight continued easing in wholesale funding conditions, as well as, for some lenders, increased appetite for risk. The increase in availability was expected across LTV (loan to value) ratios.” Aaron Strutt, a broker at Trinity Financial, says: “The survey also highlighted how important it is to ensure you keep your credit history as clean as possible. Some of the lenders are likely to tighten their credit scoring criteria making it slightly harder to qualify for a mortgage.” January 4, 2013