26 Sep Mortgage Prisoners
According to this weekends FT, banks are now labelling as many as 2 million home owners as ‘mortgage prisoners’.
Buyers who purchased a property during the mid-2000′s when high loan to value mortgages were offered to borrowers with minimal credit histories, are unable to refinance their loan, due to tighter lending criteria and high equity requirements.
More than likely they will only to borrow less than their current loan, making it impossible for the majority to move up the property ladder.
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