What's happening with mortgages today?

David Lauder gives us an overview of what is currently happening in the mortgage market, including details of interest rates and lending levels. Keep up to date with all that is happening!

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Q: Have ESPC Mortgages been busy?

A: Yes! Since our First Time Buyer event at the end of January we can really feel confidence in the market picking up. This should continue through spring time, which is traditionally a busier time for us.

Q: What are the current challenges for the market?

A: It is a good time to buy at present, however we have been seeing something of a lack of stock for potential buyers. This means some properties are going to closing dates and over the asking price quite quickly. I would like to think that more stock will be available in spring time which would mean the buyers would have more properties to choose from and therefore potentially less competition.

Interest rates still remain low but we may see a slight increase if activity continues for another few months. My advice would be that this is still a good time to buy but don’t leave it too long as prices may also increase through time!

Q: Are interest rates still attractive?

A: Rates are still good and of course the bigger the deposit the better the rates but even with the Help to Buy (Scotland): equity loan scheme, which is available on new build properties, you could get a rate somewhere around 3%. Rates will not remain like this forever and it is likely that this will be as good as it gets.

Q: Has there been a lot of interest in the Help to Buy schemes?

A: We are starting to get interest in the schemes. A 5% deposit is more achievable for some people. I have already done cases on both the Help to Buy: mortgage guarantee scheme and the Help to Buy (Scotland): equity loan scheme so it is helping people get on the property ladder that would not have been able to previously.

Q: CML have reported that lending in Scotland is at its highest level since mid 2008 – have you noticed a similar trend with ESPC Mortgages?

A: Yes, the last 6 months of 2013 were very busy and certainly the busiest for 4-5 years and I can see 2014 being similar if activity and confidence continues.

Q: Is there any advice you’d give for someone looking to move home just now?

A: It is a good market place for both buyers and seller at present, some houses are selling within 1-2 weeks and often over the asking price. House prices in general are still more realistic which is great for buyers and the current ongoing lower interest rates also mean that homes are more affordable. I would advise if you are in a position to buy then now is the time because if the activity continues then rates and house prices will increase and you could miss a window of opportunity and the same houses may end up costing you more. At least if you are on the property ladder then you are getting any market increase benefit also.

Please note: No individual personal advice is given, nor intended to be given, in this article and no liability will be accepted in respect of any action you make take as a result of receiving this article.  If you are unsure as to whether house purchase or property investment may be suitable for you, you are urged to take independent advice.

About David

David LauderDavid Lauder is Mortgage and Financial Planning Consultant who helps clients find the most suitable mortgage solution tailored to their circumstances along with identifying any other gaps they may have in their finances.

Call him on 07810 522 422.

Read some of David's other articles


The initial consultation with an adviser is free and without obligation. Thereafter, ESPC Mortgages charges for mortgage advice are usually £350 (£295 for first-time buyers). YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR OTHER LOANS SECURED AGAINST IT.