Company Borrowing

Our experience is;

We are an established property company with substantial assetts and in order for our bank to continue to offer finance they have increased the margin from 1.5% to 3.5%  above base rate and have increased the arrangement fee from 1.5% to 3%. The loan to value has been reduced from 60-70% to a maximum of 50%. How about that?

Is this reasonable in the present economic climate….we think not.  Does it encourage and help creators of employment and housing to flourish?

We think it is outrageous..what do you think?

First Time Buyers

In addition to our personal experience it is common knowledge that lenders are significantly overcharging for loans in excess of 80% and in particular for 1st time buyers who require a 90% mortgage. How on earth can first timers pay rent and save significant amounts of cash to put towards a deposit of 30 % of the purchase price in order to get the best rate. The answer is they cant so the lenders will keep charging their 3 and 4% margins. The goverment must know this is holding up the property market so why dont they do something about it?

Come on let us please have your thoughts and details of any bad experiences with lenders