Locking in for five years…Mortgage strategy

“I have to give the British a very simple instruction: You have to stay home.”

It’s been five years, but these words still land like HMRC’s unexpected letter: sharp, sober and enough to shake the spine.

Who would have thought that a grim speech to the country would be the starting rifle of the strangest, most challenging and unexpectedly transformative chapter of our collective life?

From a temporary home office perched on an ironing board to shrinking fatigue, “You’re talking” became the most persuasive phrase in the world, suddenly moving to the countryside, with Cockerpoos everywhere, 2020’s sour bread baking, life, as we know it, has turned its head.

As the labor force is open to a brand new talent, there is a positive attitude on the negative side

And, despite the mask falling off, we still live with Echo.

Whether it’s working remotely, trying to get people to the office, pay off their rebound loans, wondering how you deal with training new friends, watching it all involve the mental health of your children, and how they interact with the world now, and still revel in the newly discovered freedom, you never thought that, like other industries, like many others, like many others, has changed.

Of course, there is a positive attitude on the negative side as the workforce is already open to a whole segment of talent that is not suitable for the 9-5 office world. But that has also been – I’m shot down here – tilting a little sand towards the UK’s productivity engine.

The mask is extinguished, but we still live with the Echo

As brokers, we are lucky people – we can work anywhere with our laptops and caffeine. However, many are still trying to figure out where they are in the “new normal”, feeling isolated and over-intensity without realizing it. This is a tricky emotional paradox.

Trump’s tariffs

Despite this, the world continues… or is it?

The same orange guy is in power on the pond, and as I sit in the fire in the early hours of the “Liberation Day” I created, I can’t help but imagine a confused groundhog peeking, sniffing the cool night sky, quickly returning to mumble, mumble back, muttering, ‘wtf…. ”.

We can’t afford to sit in our hands for too long

tariff? You probably already know if they hit us. The biggest question is, will they light up the inflation fusion again or will they push us onto the panic button of cutting speed? Maybe they will disappear completely like Liz Truss’ credibility.

So we welcome April, aka “April”. Stamp duty hikes, rising national insurance, rising energy costs, shell taxes, and now a bunch of tariffs triggered to kick and giggle. Even a minimum wage hike is a mixed blessing depending on which side of the payroll you are on.

It is no surprise that the Bank of England (BOE) chose to keep interest rates unchanged, which creates an unseen harsh sound in the vortex of the differential data. Keeping rates stable may be a wise move.

That is to say, we can’t afford to sit Boe in his hands for too long. People need relief, confidence and hope. I still stuck to cut two or three times before we went to the Christmas party tour. After all, hope will never be cancelled.

The property market has great potential

Meanwhile, the Prime Minister issued her spring statement – no budget here – it’s all about playing in the market and reestablishing a £9.9 billion tightening headroom on fiscal rules.

Whether time needs to make more budgets will prove. But, like Cypress, Rachel Reeves has a tricky rope walk, and – I’ll say it again – she needs some real-time.

The easing of housing and planning rules has increased significantly, which could increase GDP growth by 0.4%, making this policy very important.

It was interesting to see the launch of the Skipton Building Society’s excellent housing affordability index in Parliament, which reveals how much work needs to be done to improve the prospects for many to try to step up the growing housing ladder.

Will tariffs light up inflation again or will it push us to the panic button of cutting speed?

That is, there is great potential in the real estate market and there is some kindness and willingness to walk through the gap, and real change and progress can be made if all parties come together to implement long-term plans.

Meanwhile, of course, everyone is still paying close attention to those delightful money markets, with Sonia dropping 0.08% to 0.08% to 4.61% for three months, while swaps determine that they are bored and regain everyone’s attention.

Since the previous column:

Money increased by 0.04% in 2 years to 3.98%

Money increased by 0.06% in 3 years to 3.93%

Payments rose 0.09% in 5 years to 3.92%

Money has increased by 0.16% in 10 years to 4.07%

Our lovely mortgage market has taken an interesting move, Santander started things and became the first big lender to increase residential affordability rates since the FCA’s recent incentives.

They keep them at their lowest level since 2022 when reducing them by 0.75%, and I hope other lenders follow suit, which will have a real impact on many potential borrowers. There does seem to be a smarter room for risk right now.

Next, and earning two thumbs, is the home of technology dear generations, which is the latest lender that proves that innovation is still alive. After the crazy college year, its new home improvement is like a more mature help-buy program that has now settled down and found the right job. The loan part has no interest, if it is repaid within the first five years, there is no additional equity payment, and then limited to twice the amount of the loan, it will tick a lot of boxes.

Since the recent FCA’s words of encouragement

In other news, the nationwide interest highest LTV increased to 75%, and increased the highest LTV for foreign nationals without indefinite leave to maintain 85%. It also eliminates the need to provide a 25% deposit from its own resources.

Virgin Money remodeled the remodeled growth mortgage and now offers up to £10,000 cash back for those who improve energy efficiency, while Accord’s Cascade score range can be used for new properties with up to 90% LTV.

Meanwhile, Atom Bank has increased its highest LTV for its near Prime products from 85% to 90%.

Cuddly Coventry has increased its maximum purchase loan exposure from £20 million to £2.5 million and increased the number of properties it mortgaged from five to five, while the total number of mortgage leased properties can increase from 10 to 15 to 15 in its portfolio.

Virgin Money remodels transformed growth mortgage

The precise maximum loan increased to 95% of LTV and increased its maximum loan size to £5m and lowered the stress rate.

Hodge’s cheers announced that its residential products will increase procurement fees for its brokers from 0.45% to 0.55%, reflecting its commitment to fair compensation and increasing its value to its brokers and clients.

My friends, I will raise a glass!

This article is in the April 2025 version Mortgage Strategy.

If you want to subscribe to a monthly print or digital magazine, click here.