The CML is pushing for new methods to be used to allow more homeowners the chance to refinance to a fixed rate mortgage. The body announced several plans that they drew up that would assist those seeking a fixed rate mortgage. Also in the news today was the new first time buyer mortgage scheme that was met with both joy and anger. Whether these moves will create more fixed rate mortgages remains to be seen, especially since banks are not willing to work with many consumers in need of a refinance.
Michael Coogan, CML director general, said: “Neither the cost nor the availability of wholesale funds has improved for lenders since the Bank of England launched its special liquidity scheme, helpful though that scheme is. This means that cost and availability to customers has not improved either. And this in turn means that consumers are now beginning to give up and demand is falling, with confidence in the housing market falling with it.”
Housing Minister Caroline Flint stated, “The package being announced today will both help people facing difficulties right now, and lay the foundations to help meet the long term housing needs of the country.”
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