Building societies withdraw mortgages to manage demand

by Aaron Strutt

Feb 17 2012

Two large building societies have temporarily withdrawn nearly all of their residential mortgage rates via brokers to enable them to control lending volumes and case processing times.

Skipton Building Society sent an email to brokers explaining that they have started 2012 unbelievably well and that in January they were pushing at 150 per cent of their forecasted lending.

Accord Mortgages pulled their mortgage rates to concentrate on managing the applications that they already have, rather than causing borrowers unexpected delays.

Aaron Strutt, a broker at Trinity Financial, says: “It is unusual for a lender to withdraw all of their mortgages because they are so far ahead of their lending targets.

“Accord and Skipton have said that they will come back to the market with new rates shortly, but other lenders have also been busy. Halifax and Northern Rock increased the cost of their mortgages to manage application levels.”

If you are looking for a quick mortgage offer, Trinity Financial will submit your application to a lender with good rates and efficient processing times.

One of the most competitive mortgages that we have access to is a term tracker rate at 2.80%. The maximum loan-to-value is 80% and the arrangement fee is £1,295. For mortgages over £500,000 the arrangement fee increases to £2,495 and there are early repayment charges of 1% for the first 12 months.

February 17, 2012