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The Times - Santander's interest-only mortgages are back

Santander for Intermediaries is easing its interest-only policy to make it easier for borrowers to qualify.

Aaron Strutt, of the broker Trinity Financial, told The Times: “Up until recently lenders have been constantly lowering their rates to increase business. We’ve reached a point where rates can’t go any lower, so they have to ease their criteria.”

According to the Council of Mortgage Lenders, only 1% of people applying for a new mortgage qualified for an interest-only loan. This increased to 4% for people who remortgaged.

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